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2017 (8) TMI 1132 - ITAT MUMBAIRevision u/s 263 - claim of additional depreciation - lack of inquiry by AO - Held that:- We find that the addition to the fixed assets in this case was made in the second half of the preceding previous year relevant to assessment year 2011-12 and the depreciation was claimed at 50% of the normal rate of depreciation as the assets was put to use for less than 182 days. The second aspect is that the assessee claimed depreciation at the rate of 50% of the normal depreciation and carried forward the remaining 50% to the subsequent year 2012-13 and claimed the same in that year which is current year assessment year 2012-13 under the clause (iia) of the section 32 of the Act. We also find that even during the course of assessment proceedings, the assessee specifically submitted all the details and schedule of depreciation along with the bills and vouchers in support of the said claim before the AO and the AO thereafter framed the assessment u/s 143(3) of the Act. AO has necessary details qua the additional claim of depreciation of ₹ 1,82,948/- and allowed the claim of the assessee as per the provisions of section 32(1)(iia) of the Act. Accordingly, we are fully agreed with the arguments of ld.AR that it cannot be presumed that due to lack of inquiry the prejudicel is caused to the revenue when the issue was not discussed in the order of AO. Claim of the assessee, which is as per law under the provisions of section 32(1)(iia) of the Act, cannot be said to be have caused prejudice to the revenue and therefore, the order is not erroneous as no prejudice was caused to the revenue as the assessee has claimed the additional depreciation as per the provisions of Act which is also supported by number of decisions. - Decided in favour of assessee.
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