2008 (11) TMI 347

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....ng Works Limited, hereinafter referred to as the "assessee", had profit from the other unit and after adjusting the loss of the Mirza unit for the assessment year 1992-93, it had profit of Rs.24,05,210. In the assessment year 1993-94, The Mirza unit had profit of Rs.15,92,818. The assessee claimed deduction of Rs.4,77,845 under section 80-I of the Income-tax Act, (for short, "the Act"). The Assessing Officer did not allow that as in his opinion, the assessee is not entitled to deduction under section 80-I of the Act. He observed that the business loss of the assessment year 1992-93 has to be set off against the income of the assessment year 1993-94. 2. The assessee carried the matter in appeal before Commissioner of Income-tax (Appeals).....

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....st the income of the assessee from the Gaya unit, cannot be again set off in the year under consideration, While doing so, the Tribuna1 observed as follows: "In view of the foregoing reasons, we are of the considered view that the Commissioner (Appeals) had taken a wrong view in holding that the loss at the Mirza unit pertaining to the assessment year 1992-93, which has been set off in that year against the income of the assessee from the Gaya unit, cannot be again set off in the year under consideration to arrive at the quantum of profit in respect of the tax holiday claim. His judgment in this regard is reversed and that of the Assessing Officer is restored." 4. The assessee, aggrieved by the same, has preferred this appeal under se....

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....ng or a ship or the business of a hotel or the business of repairs to ocean-going vessels or other powered craft to which the provisions of sub-section (1). apply shall, for the purposes of determining the quantum of deduction under sub-section (1) for the assessment year immediately succeeding the initial assessment year or in subsequent assessment year, be computed as if such industrial undertaking or the ship or the business of hotel or the business of repairs to ocean-going vessels or other powered craft were the only source of income of the assessee during the previous years, relevant to the initial assessment year and to every subsequent assessment year up to and including the assessment year for which the determination is to be made.....