section 72A

In Income tax act, there is no such concept as Amalgamation in the nature of merger/purchase. Those are AS-14 concept under accounting.

Under Income tax there is just AMALGAMATION (i e merger/purchase there is no such difference).

Section 72A:-

In case of Amalgamation the UNABSORBED DEPRECIATION and BROUGHT FORWARD BUSINESS LOSSES are given NEW 8 YEARS. That is it can now be carried forward to next 8 years by Amalgamated company.