Case Law Details
M/s Shree Krishna Vatika Construction Pvt. Ltd. Vs DCIT (ITAT Jaipur)
From the record we also found that the assessee had attended the proceedings under the bonafide belief that the losses as claimed (which was same in both returns filed u/s 139(1) and 153A) were duly being assessed by the AO, and this intention of the AO to treat the current year loss of the assessee as its additional income was never intimated during the assessment proceeding. Rather it was noticed only when the assessment order was received, thus no opportunity was ever granted to explain the issue during the course of assessment proceedings before AO.
Moreover, we observe that it is not a case where the claim of any deduction has not been lodged in the original return filed u/s 139(1) and now the assessee wants to take the benefit of the same in the return of income filed u/s 153A. In the instant case, assessee has claimed the business loss and carried forward the loss in the original return of income filed u/s 139(1) of the IT Act, 1961 and again in the return filed in response to notice issued u/s 153A, however due to some error the claim was not properly appearing in the acknowledgment of return generated and for such genuine error the assessee should not be penalized.
In view of the above discussion, I do not find any merits in the orders so passed by the lower authorities regarding declaration of additional income by the assessee, accordingly, we direct the A.O. to allow the benefit of carry forward of losses as claimed in all the assessment years We direct accordingly.
FULL TEXT OF THE ITAT JUDGEMENT
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Hi
I filed my ITR2 return on 24th Dec 2020 (AY 20-21). I filled in Schedule 112A, Schedule CFL and sheet “Part B – TI – TTI” point 16 correctly shows current year losses to be carried forward. However, the acknowledgement I received (after e-verification) shows current year losses as 0?!
Please can you help confirm why that may have happened and how can I correct it?
Thanks