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Section 72 of the Income-tax Act, 1961 - Losses - Carry forward & Set off Business Loss Where by an order under section 154 benefit of carry forward of unabsorbed depreciation and business loss was withdrawn on ground that business was not carried on by assessee but by Court receiver, as there was no cessation of business by assessee and business was of assessee and remained with it and it was managed by a receiver, who was none other than its own director, withdrawal of benefit was not justified [Assessment years 1990-91 to 1992-93] [In favour of assessee] CIT v. Bencomar Hotels (GOA) (P.) Ltd. [2009] 222 CTR (Bom.) 606 The assessee was engaged in running hotel business. The assessee had claimed carry forward of losses. The Assessing Officer completed the assessment allowing unabsorbed brought forward depreciation and business losses to be carried forward. However later for another year the assessment was reopened and completed under section 143(3), read with section 148 disallowing the assessee's claim for carry forward of unabsorbed depreciation and business losses as the business was not carried by the assessee-company but by the Court receiver. Based on the above order the Assessing Officer rectified the assessee's assessment to withdraw the benefit of carry forward depreciation and business losses which was earlier allowed. Held that there was no cessation of business by the assessee. The business was of the assessee and remained with it. It was managed by a receiver, who was none other than its own director. The business and assets never vested with the receiver but remained that of the assessee. On merits, apart from there being no case to invoke section 154, it was to be held that the assessee was entitled to carry forward and set off of losses and depreciation relating to earlier years. S.R. Rivonkar for the Appellant. R.G Ramani for the Respondent. JUDGMENT S.C. Dharmadhikari, J. : This is an appeal under s. 260A of the IT Act, 1961, by the CIT, Panaji, Goa. The appeal under s. 260A can be termed as second appeal as envisaged under s. 100 of the CPC, 1908. The appeal raises the following substantial questions of law : "(A) Whether on the facts…

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