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2014 (7) TMI 724 - HC - Income TaxPower of revision u/s 263 Deduction on depreciation in the value of investments Held that:- A method of accounting adopted by the taxpayer consistently and regularly cannot be discarded by the revenue on the view that he should have adopted a different method of keeping the accounts or on valuation - the assessee has maintained the accounts in terms of the RBI Regulations and he has shown it as investment - consistently for more than two decades it has been shown as stock-in-trade and depreciation is claimed and allowed - notwithstanding that in the balance-sheet , it is shown as investment, for the purpose of Income Tax Act, it is shown as stock-in-trade - the value of the stocks being closely connected with the stock market, at the end of the financial year, while valuing the assets, necessarily the bank has to take into consideration the market value of the shares - If the market value is less than the cost price, in law, they are entitled to deductions and it cannot be denied by the authorities under the pretext that it is shown as investment in the balance-sheet - THE KARNATAKA BANK LTD Versus ASSISTANT COMMISSIONER OF INCOME TAX MANGALORE [2013 (7) TMI 656 - KARNATAKA HIGH COURT] followed there was no infirmity in the order passed by the Tribunal no substantial question of law arises for consideration Decided against Revenue.
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