TaxTMI 
TaxTMI 
2021 (6) TMI 579
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.... , is the manufacturer and exporter of egg products and running Poultry Farm. It filed its e-return of income for the assessment year 2014-15 on 27.10.2014 after claiming set-off of brought forward losses and unabsorbed depreciation under the normal provisions of income -tax computation as well as under MAT provisions. While doing the assessment, the A O completely rejected the assessee's MAT workings on the ground that the assessee's book profit during the year was at Rs. 9,93,85,557/- and that as per books of account there is no brought forward business loss / unabsorbed depreciation and the losses as per books of AYs 2011-12 &2012-13 got absorbed against the surplus brought forward from the earlier years and thus, in effect there remains....
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....rought forward depreciation losses to be set off against the Book profit of Rs. 9,93,85,557/- while working out income u/s 115JB ( of the Act thereby reducing the income u/s 115JB to Nil. 3) The learned CIT(A) has erred in not considering the workings tabulated from A.Y 1999-2000 onwards upto A.Y 2013-14 in the assessment order which show that there is no brought forward loss or unabsorbed depreciation available as per books of accounts, and hence the assessee is liable to pay tax under MAT workings 4) The learned CIT(A) has erred in not considering that In Section 115JB, since nowhere it is mentioned that the loss of a year is to be set off against the book profit of subsequent year only and hence If there is surplus unde....
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....73,33,932 2000-01 (-)1,67,85,395 (-)3,40,53,982 (-) 5,04,97,585 (-)13,78,31,517 2001-02 0 0 (+) 44,96,889 (-)13,33,34,628 2002-03 0 0 (+) 3,83,36,352 (-) 9,49,98,276 2003-04 0 0 (+) 5,07,20,693 (-) 4,42,77,583 2004-05 0 0 (+) 3,87,53,375 (-) 55,24,208 2005-06 0 0 (+) 5,07,20,693 (+) 4,51,96,485 2006-07 0 0 (+) 9,28,04,663 (+)13,80,01,148 2007-08 0 0 (+)10,97,61,692 (+)24,77,62,840 2008-09 0 0 (+) 9,23,96,125 (+)34,01,58,965 2009-10 0 0 (+)11,94,99,132 (+)45,96,58,097 2010-11 0 0 (+) 29,57,006 (+)46,26,15,103 2011-12 (-)8,60,69,968 (-)4,60,27,218 (-)13,20,97,186 (+....
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....n this assessment year. Further, the ld DR submitted that in section 115JB, nowhere it is mentioned that loss of a year is to be set-off against the book profit of the subsequent year or years only. If there is a surplus under the head P& L account at the beginning of a year in the books, the loss, if any, of that year will get absorbed against the brought forward surplus in the books and the resultant figure gets carried forward in the books of Account. Therefore, the ld DR submitted that the order of the CIT(A) may be cancelled and that of the A.O. be restored. 6. Per contra, the Ld A R submitted that the book profit for the purpose of MAT is different from the Profit shown in the Profit and Loss account prepared as per the Companies A....
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....II) of Sec.115JB(2) of the Act. Further, he relied on the decisions in the case of Go Airlines (India) Ltd vs DCIT , ITAT Mumbai in ITA No 3788/Mum/2018 dt 13.01.2021 for Ay 2014-15 (2021) 198 DTR (Mumbai) (Trib) 113 and DCIT vs Binani Industries Ltd ( 2017) 82 taxmann.com 320 (Kolkatta- Trib). 7. We heard the rival submissions and gone through relevant material. The facts are that as per books, the profit and Loss account balance as on 01.04.2013 in the balance sheet was at Rs. 11,83,12,100/-, the assessee's book profit during the year was at Rs. 9,93,85,557/- and the book profit from AYs 1999-00 to AY 2013-14 as extracted in the tabular form in para 5, supra , are not disputed. Now, we are concerned with the computation of book profits....