Both the unabsorbed amounts Rs.
From the Judgment and Order dated 4.9.1970 of the Allahabad High Court in Income Tax Reference No.
The Revenue has challenged the High Courts view in these appeals.
50,736 subsequently a revised return was filed on 20.8.1971 claiming a set off of the carried forward 1088 of earlier years against the income of that year even before making any allowance for the current years depreciation.
340 of 1964 B. Ahuja and Miss A. Subhashini for the appellant in A.Nos.
The Department preferred an appeal to the Appellate Tribunal and the Tribunal took the view that unabsorbed carried forward losses of the earlier years will have priority over unabsorbed deprecation of the earlier years but number over the current years depreciation.
1570 1571 of 1973 and Tax Reference Case No.
15 of 1983.
15 of 1983.
The assessees income without taking into account the current depreciation was Rs.
15 of 1983.
47,832 were directed to be carried forward.
19652 Rs.
CIVIL APPELLATE JURISDICTION Civil Appeals Nos.
50,624 in 1951 52 and Rs.
The facts in the Tax Reference are briefly these.
The companycerned assessment years are 1951 53.
1,85,670 and Rs.
T. Desai, R.S. Suri and Sudhir Kumar Sajawan for the respondents in C.A.Nos.
For the assessment year 1969 70 the assessee company filed a return on 18.7.1969 disclosing a 1088 of Rs.
67534 and unabsorbed depreciation of Rs.
Harish Salve, Joel Peres and Mrs. A.K. Verma for intervenors.
The Judgment of the Court was delivered by TULZAPURKAR, J. In these appeals and the tax reference the companymon question arising for determination relates to the priority between current depreciation and unabsorbed carried forward business loss that is to say which should be deducted first while companyputing the total income of an assessee for the companycerned assessment year.
The facts giving rise to the above question in the civil appeals are these.
1,78,154.
At the end of assessment year 1950 51 there was an unabsorbed business loss of Rs.
44580 was set off against the income of Rs.
B. Ahuja and Miss A. Subhashini for the respondents in Tax Ref.
64,232 the net income of Rs.
1570 1571 of 1973.
1570 71 of 1973.
Harish Salve and Mrs. A.K. Verma for the appellant in Tax Ref.
