2018 (6) TMI 1053

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....RESHI) 1. Revenue is in appeal against the judgment of the Income Tax Appellate Tribunal dated 13.12.2017 raising following question for our consideration: "Whether the Appellate Tribunal has erred in law and on facts in remitting the issue to the file of Assessing Officer without appreciating the fact that brought forward losses & unabsorbed depreciation cannot be said to be related t....

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....ion that no such requirement arose out of subsection (4) of section 72A of the Act. After referring to the said provision, the Tribunal held and observed as under: "8. Clearly, therefore, as long as brought forward losses and ubabsorbed depreciation can be directly relatable to the undertakings transferred to the resulting company (i.e. Advantage Retail Pvt Ltd.) in this case, the same is....

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.... above discussions, as also bearing in mind entirety of the case, we are of the considered view that the matter is required to be remitted to the file of the Assessing Officer for adjudication de novo in the light of our observations above, in accordance with the law, by way of a speaking order dealing with specific justifications for bifurcation, as may be given by the assessee, after giving a fa....

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....en the Demerged Company and the Resulting Company in the same proportion in which assets of the undertakings have been retained by the Demerged Company and transferred to the Resulting Company which would be allowed to be carried forward and set off in the hands of the Demerged Company or the Resulting Company, as the case may be. 4. The Tribunal is thus correct in commenting that if the brough....