The AO held that no amount of brought forward loss had to be reduced in the computation of income and that in the computation of income under S.  115JB the unabsorbed depreciation claimed could not be allowed. The CIT (A) concurred with the AO The Tribunal held that under S.  115JB , book profit was defined as net profit as shown in the profit and loss account for the relevant previous year prepared under sub-section (2) in accordance with the provisions of Parts II and III of Schedule VI to the Companies Act, 1956 and thereafter increased by the amount specified in clauses (a) to (f) and reduced by clauses (i) to (viii), that the net profits were to be determined according to the provisions of the 1956 Act and thereafter adjustments were to be made, that the assessee could not adjust the book profit except as provided under the 1956 Act, that the assessee computed the brought forward losses under the provisions of the 1961 Act and not under the 1956 Act, which was not permissible and dismissed the appeal filed by the assessee. On appeal the Court held that the Tribunal had misconstrued the relevant statutory provisions and had not dealt with the claim of the assessee for deduction under S 10A  of the Act . The matter was remanded to the Tribunal for deciding afresh. ( AY.2005-06)