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2019 (6) TMI 1436 - ITAT AHMEDABADDisallowance of deprecation of infrastructure facility - HELD THAT:- As decided in own case [2017 (3) TMI 28 - ITAT AHMEDABAD] Claim of the assessee for depreciation on infrastructural facility existed since 2004-05 should not be disturbed after referring a number of judicial pronouncements. In the case of ACIT vs. S.K. Patel Family Trust [2012 (6) TMI 790 - GUJARAT HIGH COURT] the Hon’ble Gujarat High Court has held that wherein deprecation on certain asset had been allowed in earlier years could not be disallowed merely on the ground that such assets were not put to use during the year under consideration. In the case of HSBC Asset Management India Pvt. Ltd. vs. Deputy Direction of Income [2011 (6) TMI 866 - ITAT MUMBAI] the ITAT Mumbai has held that the assessing officer cannot dispute the opening WDV of block asset after having allowed the depreciation in the immediately preceding years and does not open to the assessing officer to take different stand. In the light of the judicial findings and the facts reported in the finding of ld. CIT(A), we do not find any infirmity in the decision of ld. CIT(A). Accordingly, this ground of appeal of the revenue is dismissed. Disallowance of foreign exchange losses - HELD THAT:- The assessee company had entered into foreign currency forward contracts with banks in terms of prevalent RBI guideline which mandates entering of foreign currency contracts only with banks. In view of the above and after considering the detailed finding and judicial pronouncement referred in the decision of ld. CIT(A) as elaborated above in this order, we consider that foreign exchange loss on account of forward contract incurred by the assessee from year to year basis was correctly allowed by the ld. CIT(A). Therefore, we do not find any irregularity in the order of the ld. CIT(A), therefore, the appeal of the revenue on this issue is dismissed. Similarly, disallowance of realised foreign exchange loss by the assessing officer by treating the same as speculation loss u/s. 43(5)(d) of the act is not justified. Since the assessee was not the dealer in foreign exchange but providing the operating container handling terminal services and there was no purchase or sale of commodity settled otherwise than actual delivery, therefore, the same cannot be termed as speculation transaction in the case of the assessee. After considering the detailed finding of ld. CIT(A) and submission of the assessee produced of the ld. CIT(A), we do not find any substance in the finding of assessing officer treating the foreign exchange loss as speculative loss, therefore, this ground of appeal of the revenue is also dismissed. Disallowance of 14A - HELD THAT:- We consider that the Hon’ble Gujarat High court in the case of Corrtech Energy Ltd. [2014 (3) TMI 856 - GUJARAT HIGH COURT] has held that where the assessee has not claimed any exempt income, no disallowance u/s. 14A can be made. In view of the above and the elaborate finding of the ld. CIT(A), we do not find any merit in this ground of appeal of the revenue, therefore, the same is dismissed.
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