SHRI AMBIKA METALIKS PVT. LTD., ,HOWRAH V. ACIT, CENTRAL CIRCLE 3(4), , KOLKATA

ITA 469/KOL/2025

AI Insights

The case involves Shri Ambika Metaliks Pvt. Ltd., the appellant, contesting the decisions of the Assistant Commissioner of Income Tax and the Commissioner of Income-tax (Appeals) regarding the set off of brought forward losses and the allowance of Minimum Alternate Tax (MAT) credit for the Assessment Year 2016-17. The Tribunal examined the restrictions placed on the brought forward losses and the denial of MAT credit, finding both actions unsupported by adequate justification or evidence. The Tribunal's decision reversed the lower authorities' rulings, favoring the appellant's claims.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 776197 (ITAT-KOLKATA)
• Duration Of Justice: 6 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 16-09-2025
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2016-2017
• Appeal Filed On: 04-03-2025
• Laws Referred To: Income Tax Act
• Court: TRIBUNAL
• Department Lawyers: S ANDEEP KUMAR MEHTA
• Assessee Lawyers: S. K. TULSIYAN; SONAM BAJORIA; ARS
• Keywords: Set aside; Assessment record

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH, KOLKATA BEFORE SHRI DUVVURU RL REDDY, VP AND SHRI RAJESH KUMAR, AM ITA No.469/KOL/2025 (Assessment Year:2016-17) Shri Ambika Metaliks Pvt. Ltd. 8/2, Nutun Para Road, Liluah, Howrah-711204, West Bengal Vs. Asst. Commissioner of Income Tax, Central Circle-3(4), Aaykar Bhavan, 110, Shantipally, EM Bypass, Kolkata-700107 (Appellant) (Respondent) PAN No. AALCS8452J Assessee by : Shri S.K. tulsiyan & Ms. Sonam Bajoria, ARs Revenue by : Shri Sandeep Kumar Mehta, DR Date of hearing: 19.08.2025 Date of pronouncement: 16.09.2025 O R D E R Per Rajesh Kumar, AM: This is an appeal preferred by the assessee against the order of the Commissioner of Income-tax (Appeals) (hereinafter referred to as the “Ld. CIT(A)”] dated 22.10.2024 for the AY 2016-17. 02. At the outset, we observe that there is a delay of 63 days in filing the appeal by the assessee for which condonation petition along with affidavit was filed. After perusing the affidavit filed by the assessee and hearing the parties, we are inclined to condone the delay to be for bonafide and genuine reasons. Printed from counselvise.com Page | 2 ITA No.469/KOL/2025 Shri Ambika Metaliks Pvt. ltd; A.Y. 2016-17 03. The issue raised in ground no.1 is against the order of ld. CIT (A) upholding the order of ld. AO, wherein the brought forward losses from the earlier year of ₹2,62,657/-, was not allowed to be set off. 04. The assessee has brought forward losses of ₹8,35,902/-, which was claimed against the current year income. The fact is corroborated by the order passed u/s 143(1) dated 22.07.2017. However, the ld. AO while passing the assessment order restricted the said brought forward losses to the extent of ₹5,73,245/-, which was affirmed by the ld. CIT (A) on the ground that the assessee has not filed the details. 05. After hearing the rival contentions and perusing the materials available on record including the comprehensive details as regard to brought forward losses and its setting off, we find that the amount of brought forward losses for A.Y. 2016-17, was ₹8,35,902/-, which was also claimed by the assessee as set off against the current year income but the AO without any basis restricted the same. Since, there is no basis for restricting the brought forward losses to ₹5,73,245/-, we accordingly set aside the order of ld. CIT (A) and direct the ld. AO to allow the further set off of brought forward losses to the tune of ₹2,62,657/-. 06. The ground no. 1 of the assessee is allowed. 07. The issue raised in ground no.2, is against the order of ld. CIT (A) not allowing the MAT credit u/s 115JAA of the Act of ₹12,94,923/- on the ground that assessee has not furnished any details when all the information qua the said MAT credit was available in the assessment records. The order of the AO was upheld by the ld. CIT(A). Printed from counselvise.com Page | 3 ITA No.469/KOL/2025 Shri Ambika Metaliks Pvt. ltd; A.Y. 2016-17 08. After hearing the rival contentions and perusing the materials available on record, we find that this MAT credit was claimed by the assessee u/s 115JAA of the Act of ₹12,94,923/-, which is also apparent from the order passed u/s 143(1) of the Act dated 22.07.2017. We also examined the ITR’s for A.Y. 2012-13, 2014-15, and 2016-17 and find that the MAT credit available to the assessee during the year is as under: - Printed from counselvise.com Page | 4 ITA No.469/KOL/2025 Shri Ambika Metaliks Pvt. ltd; A.Y. 2016-17 09. Accordingly, we find that the claim of the assessee is as per provisions of the Act and therefore, the order of ld. CIT (A) is set aside and the ld. AO is directed to allow the MAT credit of ₹12,94,923/-. 010. In the result, the appeal of the assessee is allowed. Order pronounced in the open court on 16.09.2025. Sd/- Sd/- (DUVVURU RL REDDY) (RAJESH KUMAR) (VICE PRESIDENT) (ACCOUNTANT MEMBER) Kolkata, Dated: 16.09.2025 Sudip Sarkar, Sr.PS Copy of the Order forwarded to: BY ORDER, True Copy// Sr. Private Secretary/ Asst. Registrar Income Tax Appellate Tribunal, Kolkata 1. The Appellant 2. The Respondent 3. CIT 4. DR, ITAT, 5. Guard file. Printed from counselvise.com "