TaxTMI 
TaxTMI 
2017 (3) TMI 270
X X X X Extracts X X X X
X X X X Extracts X X X X
....atisfied with the impugned judgment and order dated 23rd May 2016 passed by the learned Income Tax Appellate Tribunal, Ahmedabad ["Tribunal" for short] passed in ITA No. 3215/AHD/2015 for Assessment Year 2012-2013, by which the learned Tribunal has allowed the said Appeal preferred by the assessee and set-aside the action of Assessing Officer, confirmed by the learned CIT [A], in disallowing the deduction of alleged accumulated unabsorbed depreciation of earlier years amounting Rs. 27,36,90,817/- while computing the book profit of Rs. 27,51,00,602/- for the purpose of Section 115JB of the Income-tax Act, 1961 [hereinafter referred to as, "the Act"], the Revenue has preferred Tax Appeal No. 37 of 2017 with the following proposed question of ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ection 263 of the Act by which, the Assessing Officer disallowed a similar deduction claimed under Section 115JB of the Act for A.Y 2010-2011. 3. For the sake of convenience, the facts emerging in Tax Appeal No. 37 of 2017 for A.Y 2012-2013 are narrated hereunder : 3.1 That the assessee company is engaged in the business of manufacturing of Polyester chips and Polyester Yarn and property development. The assessee filed its return of income for Assessment Year 2012-2013. That, the assessee claimed deduction of alleged accumulated unabsorbed depreciation of earlier years amounting to Rs. 27,36,90,817/- while computing the book profit of Rs. 27,51,00,602/- for the purpose of Section 115JB of the Act. The case of the assessee was selected for....
X X X X Extracts X X X X
X X X X Extracts X X X X
....plementation of the scheme. In the F.Y 2007-08, relevant to the Assessment Year 2008-2009, a rehabilitation account was opened to give effect to the order of the BIFR. In rehabilitation scheme account, all credit amounts lying in various accounts, such as equity share capital account, share premium account and surplus and secured loan accounts, which were of capital nature were transferred to credit of rehabilitation account, and ultimately, the credit balance in that account was used to liquidate the debit balance of profit and loss account by way of transfer of debit balance of P&L account to the rehabilitation scheme account to the extent of credit balance available therein. The assessee also contended that right from Assessment Year 200....
X X X X Extracts X X X X
X X X X Extracts X X X X
....g aggrieved and dissatisfied with the order passed by the learned CIT [A] confirming the action of Assessing Officer, the assessee preferred appeal before the learned Tribunal, being ITA No. 3215/Ahd/2015. By the impugned judgment and order, the learned Tribunal allowed the said Appeal preferred by the assessee and set-aside the action of the Assessing Officer by specifically observing that from the A.Y 2009-2010 onwards, the assessee has reduced its book profit by making adjustments under Section 115JB of the Act and similar adjustments have been accepted by the Assessing Officer in the assessment orders passed under Section 143 (3) of the Act [for Assessment Year 2009-2010], the learned Tribunal has allowed the said Appeal preferred by th....
X X X X Extracts X X X X
X X X X Extracts X X X X
....t Years 2009-2010 and 2011-2012, when the Assessing Officer had allowed such depreciation claimed by the assessee under Section 115JB of the Act and the same has attained finality, therefore, it will not be open for the subsequent Assessing Officer to take a contrary view. It is submitted that therefore, as observed by the Hon'ble Supreme Court, in light of the aforesaid judgment, the appeal preferred by the assessee can be disposed of on the ground of consistency; more particularly when there are chain of circumstances viz., Assessment Years 2009-2010 and 2011-2012. 7.1 Making above submission, it is requested by learned counsel appearing on behalf of the assessee to dismiss the present Tax Appeals. 8. We have heard learned advocates....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... shall not be applicable. However, it is required to be noted that the question in the earlier years was also with respect to the similar/same deduction of alleged accumulated unabsorbed depreciation of earlier years, which came to be allowed by the Assessing Officer while computing the book profit for the purpose of Section 115JB of the I.T Act. It was not the case on behalf of the Assessing Officer and even before this Court, it is not the case of the Revenue, that there are change in circumstances with respect to the year under consideration and with respect to A.Y 2009-2010 and/or A.Y 2011-2012. Under the circumstances, in absence of any change in the circumstances, it was not open for the Assessing Officer to take a different view in t....