2015 (4) TMI 678

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....s appeal against the order passed by the Tribunal, upholding the orders passed by the lower Authorities who have held that in calculating the profits from the eligible business, the deduction of losses set off against the profits from other business is to be taken into consideration. 2. In coming to the said conclusion, the Tribunal relied on the judgment of the Special Bench of the Appellate Tri....

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....ial question of law that arises for our consideration in this appeal is: "Whether in law, the Tribunal is justified in holding that in view of provision of Section 80-IA(5) of the Income Tax Act, the profit from the eligible business for the purpose of deduction under Section 80-IB of the Act has to be computed after deduction of notional brought forward losses of eligible business even though th....

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....mputed as if such eligible business were the only source of income of the assessee during the previous year 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." 6. It is stated that the non-obstante clause in sub-section (5) means it over-rides all the provisions of the Act and other pro....

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....s the option, the only losses of the years beginning from initial assessment year alone are to be brought forward and no losses of earlier years which were already set off against the income of the assessee. Looking forward to a period often years from the initial assessment is contemplated. It does not allow the Revenue to look backward and find out if there is any loss of earlier years and bring....