2000 (7) TMI 52

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....tion has been referred by the Income-tax Appellate Tribunal, Delhi, Bench "B" (for short "the Tribunal"), under s. 256(1) of the IT Act, 1961 (in short the "Act"), for opinion of this Court : "Whether, on the facts and in the circumstances of the case, the Tribunal was legally correct in holding that under s. 80J(3), the assessee was authorised to claim deduction under s. 80J at any time within....

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....t was contended that the assessee-company had set up an industrial undertaking to commence production in the previous year ending on 30th June, 1965, and, as such, it was entitled to deduction under s. 80J for the asst. yr. 1966-67 and four succeeding assessment years. It was the assessee's stand that claim for deduction could be made for six years from the start of the previous year relevant to t....

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....bunal. There was no appearance on behalf of the assessee when the matter was called. The question came up for consideration of the Karnataka High Court in CIT vs. Sree Valliappa Textiles Ltd. (1986) 57 CTR (Kar) 65 : (1987) 166 ITR 548 (Kar) : TC 25R. 1168. The following observation was made by the said High Court : "We are in respectful agreement with the view taken in all these cases that the....

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....ssessment for the subsequent year can decide whether that loss may be carried forward and set off against the income of the subsequent year. As rightly pointed out by Sri Srinivasan, s. 80J(1) and (3) have to be read together and not in isolation. We have first to ascertain the scope and ambit of s. 80J(1) and it is only thereafter to consider the scope and ambit of s. 80J(3). It, therefore, follo....