Dismissing the appeal the Court held that by the order passed by the Assessing Officer under section 154 of the Income-tax Act, 1961 he had allowed unabsorbed depreciation of earlier years to be set off against the income of the assessee for the AY. under consideration, further allowing unabsorbed depreciation and unabsorbed business loss to be carried forward to the next year for set off. The Commissioner had set aside the order on revision. The Tribunal was correct in restoring the order of rectification. Followed CIT v. Virmani Industries Pvt. Ltd. [1995] 216 ITR 607 (SC)  ( AY.2011-12)