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2014 (10) TMI 967 - ITAT MUMBAIDisallowing depreciation on fixed assets to assessee trust - Held that:- We find that the assessee has given sufficient reasons for claiming the same, in support, certificates were filed which were also before the lower authorities. The assessee is running a hospital. The assets which have outlived their lives cannot be sold as scrap as per the rules governing the hospital, the assessee was left with no choice but to claim the same as additional depreciation. The Hon’ble High Court of Bombay in the case of Institute of Banking Personnel Selection (2003 (7) TMI 52 - BOMBAY High Court) has laid down the ratio that the income of the Trust is required to be computed u/s. 11 on commercial principles. Claim of carry forward of deficit to be set off against the income of the subsequent years - Held that:- As the income has to be computed on commercial principles like business loss which is allowed to be carried forward and set off with the profit of subsequent years. Similarly, the deficit in the case of a trust is allowed to be carried forward to be set off in subsequent years. That being so, findings of the Ld. CIT(A) need no interference. - Decided against revenue
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