Rajasthan R.S.S. & Ginning Mills ... vs Dy. Commnr. Of Income Tax, Jaipur

The Supreme Court addressed the issue of whether accumulated losses of amalgamated co-operative societies could be carried forward under Section 72 of the Income Tax Act, 1961. The Court held that since the amalgamated societies ceased to exist post-amalgamation, their accumulated losses could not be set off against the profits of the appellant society. Consequently, the Court upheld the decisions of the lower authorities, affirming the dismissal of the appellant's claims for the assessment years 1994-95 and 1995-96.