TaxTMI 
TaxTMI 
2016 (6) TMI 383
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....ar 2011-12, on 29.09.2011, admitting the total income of Rs. 15,19,456/-. The nature of business of the assessee is to export home textiles products and generate power using wind energy. The case was selected for scrutiny under CASS and Notice, under Section 143(2) of the Income Tax Act, was issued. The Assessment Officer completed the assessment under Section 143(3), making the following deductions, 1. Addition for low profit Rs.5,00,000/- 2. Addition 80IA Rs.65,12,277/- Being aggrieved by the same, the assessee challenged the order of assessment, before the Commissioner of Income-Tax, contending inter alia, (a) The Assistant Commissioner of Income-Tax has failed to understand the provisions of Section 80-IA(5) had been interprete....
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....cts of the case, the Tribunal dismissed the appeal filed by the revenue. 5. Mr.J.Narayanasamy, learned counsel appearing for the revenue assailed the correctness of the order of the Income-Tax Appellate Tribunal, B Bench, Chennai, dated 15.05.2015, on the grounds that the Tribunal has erred in holding that the assessee is entitled for the claim of deduction, under Section 80-IA, with respect to the wind mill unit and further contended that the Tribunal ought to have appreciated that profit and gains of such business, right from the beginning, had to be computed separately and after reducing the past losses, unabsorbed depreciation and unabsorbed investment allowance, deduction under Section 80-IB can be allowed on the balance amount and th....
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....anufacture of IMFL products, generation of power through wind and biomass and also trading in iron ore and coal. The return of income for the assessment year 2004-05 was filed on 1st Nov., 2004 admitting a total income of Rs. 9,54,41,024. The said return of income was processed under Section 143(1) on 19th Feb., 2005. Subsequently, this case was selected for scrutiny and notice was issued under Section 143(2) on 21st Oct., 2005. While computing the assessment, the Assessing Officer disallowed the claim of deduction made by the assessee under Section 80-IA amounting to Rs. 10,63,74,164/-, on the ground that the eligible deduction under Section 80-IA after setting off, of the loss, which works out to 'nil'. 8. Aggrieved by the said o....
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....umstances of the case, the Tribunal was right in holding that the assessee has the option to choose the first/initial assessment year of claim for deduction under s. 80-IA ?" 9. On the facts and circumstances of the case, while adverting to the substantial questions of law and after considering the judgment of the Apex Court in Liberty India vs. CIT (2009) 225 CTR (SC) 233 : (2009) 28 DTR (SC) 73 : (2009) 317 ITR 218 (SC) and the judgment of the Rajasthan High Court in CIT vs. Mewar Oil & General Mills Ltd. (2004) 186 CTR (Raj) 141 : (2004) 271 ITR 311 (Raj), a Hon'ble Division Bench of this Court in Velayudhaswamy Spinning Mills Pvt. Ltd.,'s case (stated supra), held that once the losses and other decisions have been set off again....