Judicial Analysis Court Copy Headnote Facts Arguments Court observation

2015 Supreme(SC) 1447

SUPREME COURT OF INDIA
RANJAN GOGOI, N.V. RAMANA, JJ.
Peerless General Finance And Investment Co. Ltd. - Petitioner
Versus
Commissioner of Income Tax Kalkata-I - Respondent
Petition(S) For Special Leave to Appeal (C) No. 34124 of 2014
Decided On : 08-12-2015

Advocates Appeared:
For the Petitioner:Ganesh, Sr. Adv., S. Sukumaran, Anand Sukumar, Bhupesh Kumar Pathak and Meera Mathur, Advocates.
For the Respondent:Arijit Prasad, Mukti Chowdhary and Anil Katiyar, Advocates.

Unabsorbed depreciation as of 1st April, 1997 can be set off against income from any Head for the immediate Assessment Year following 1st April, 1997 and against Business Income for a period of eight (08) Assessment years.

Headnote:
Depreciation - Set off against Income - Business Income - Legal provision discussed by the court
Fact of the Case:

The court dismissed the Special Leave Petition subject to the observation that unabsorbed depreciation as of 1st April, 1997 can be set off against the income from any Head for the immediate Assessment Year following 1st April, 1997 and thereafter against Business Income for a period of eight (08) Assessment years.
Finding of the Court:

The court's finding was to dismiss the Special Leave Petition with the specified observation regarding the set off of unabsorbed depreciation against income.
Issues: The issue involved the set off of unabsorbed depreciation against income and the applicable Assessment Years.
Ratio Decidendi: The court interpreted the legal provision to allow the set off of unabsorbed depreciation against income from any Head for the immediate Assessment Year following 1st April, 1997 and against Business Income for a period of eight (08) Assessment years.
Final Decision: The Special Leave Petition was dismissed with the specified observation regarding the set off of unabsorbed depreciation against income.

ORDER :

Heard the learned counsels for the parties and perused the relevant material.

2. The Special Leave Petition is dismissed subject to the observation that the unabsorbed depreciation as on 1st April, 1997 can be set off against the income from any Head for the immediate Assessment Year following 1st April, 1997 and thereafter if there still is any unabsorbed depreciation the same can be set off only against the Business Income for a period of eight (08) Assessment years.

3. The Special Leave Petition is disposed of in the above terms.

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2015 Supreme(SC) 1447

SUPREME COURT OF INDIARANJAN GOGOI, N.V. RAMANA, JJ.Peerless General Finance And Investment Co. Ltd. - PetitionerVersusCommissioner of Income Tax Kalkata-I - RespondentPetition(S) For Special Leave to Appeal (C) No. 34124 of 2014Decided On : 08-12-2015

Unabsorbed depreciation as of 1st April, 1997 can be set off against income from any Head for the immediate Assessment Year following 1st April, 1997 and against Business Income for a period of eight (08) Assessment years.

SUPREME COURT OF INDIA
RANJAN GOGOI, N.V. RAMANA, JJ.
Peerless General Finance And Investment Co. Ltd. - Petitioner
Versus
Commissioner of Income Tax Kalkata-I - Respondent
Petition(S) For Special Leave to Appeal (C) No. 34124 of 2014
Decided On : 08-12-2015