| Case ID |
0af113d1-a80d-4921-88d7-450cb7d2f921 |
| Body |
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| Case Number |
IT APPEAL Nos. 162 & 163 OF 2003 |
| Decision Date |
Feb 18, 2015 |
| Hearing Date |
|
| Decision |
The High Court upheld the decision of the Income Tax Appellate Tribunal confirming that the assessee-company was not entitled to carry forward and set off the business losses determined and assessed by the Assessing Officer. The Court highlighted that the provisions of the Income-tax Act, specifically section 80, clearly stipulate that the benefit of carry forward of losses cannot be granted unless the return has been filed within the prescribed time limits. As the assessee failed to file the returns within the necessary timeline, the court concluded that it could not assist the assessee in this matter. The ruling emphasized the substantive nature of the provisions contained in section 80, which must be adhered to regardless of the circumstances surrounding the filings of returns. |
| Summary |
In the case of Peerless General Finance & Investment Co. Ltd. v. Commissioner of Income Tax, the Calcutta High Court addressed the issue of whether the assessee was entitled to carry forward business losses for the assessment years 1985-86 and 1986-87. The court examined the provisions of section 80 of the Income-tax Act, 1961, which mandates strict compliance with filing deadlines for loss carry forward benefits. The assessee filed returns declaring certain income after the expiration of the time extended by the Assessing Officer, leading to assessments at a net loss. The court ruled in favor of the revenue, affirming that the assessee's failure to meet the filing requirements precluded any entitlement to carry forward losses. This case underscores the importance of adhering to statutory deadlines in tax law and the binding nature of the provisions of the Income-tax Act. Key terms include 'Income-tax Act', 'carry forward losses', 'filing deadlines', and 'business losses'. The ruling serves as a significant precedent for future tax-related cases, emphasizing the critical nature of compliance with statutory requirements in the context of loss carry forwards. |
| Court |
Calcutta High Court
|
| Entities Involved |
Income Tax Appellate Tribunal,
Peerless General Finance & Investment Co. Ltd.,
Commissioner of Income Tax, Kolkata-I
|
| Judges |
Girish Chandra Gupta,
Arindam Sinha
|
| Lawyers |
S. Bagchi,
D. Mitra,
P.K. Bhowmick,
Ms. S. Das De
|
| Petitioners |
Peerless General Finance & Investment Co. Ltd.
|
| Respondents |
Commissioner of Income Tax, Kolkata-I
|
| Citations |
2015 SLD 2509 = (2015) 378 ITR 718
|
| Other Citations |
Peerless General Finance & Investment Co. Ltd. v. Jt. CIT [2003] 85 ITD 215 (Kol.) (TM),
CIT v. Kullu Valley Transport Co. (P.) Ltd. [1970] 77 ITR 518 (SC),
CIT v. Srinivasa Builders [2014] 369 ITR 69/44 taxmann.com 35 (Kar.)
|
| Laws Involved |
Income-tax Act, 1961
|
| Sections |
80,
139
|