#loss carry forward

Delhi High Court rules that CBDT Circular No. 11 of 2024 cannot restrict the statutory discretion under Section 119(2)(b) to condone minor delays in return filing for loss carry forward. The court held that a 7-day delay, if justified, must be condoned to prevent denial of rights under Section 80, reinforcing judicial discretion over administrative circulars.

The Supreme Court ruled that an amalgamated company cannot claim set-off of pre-amalgamation losses under the Kerala Agricultural Income Tax Act, 1991, as Section 54 does not expressly permit such transfer. The judgment underscores that contractual clauses cannot override statutory limitations, impacting corporate restructuring and tax planning strategies.