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2021 (7) TMI 717 - ITAT DELHIAdditional depreciation claimed on new Plant and Machinery u/s 32(i)(iia) - AO'S view that additional depreciation was allowable for acquisition of new Plant and Machinery and not on replacement of parts of Plant and Machinery already in existence - HELD THAT:- As decided against assessee in own case [2019 (11) TMI 208 - ITAT DELHI] as held no infirmity in the order of the CIT(A) rejecting the claim of additional depreciation on the ground that the various items are not new machinery which has been purchased by the assessee, but, it is in the nature of repair and maintenance of the existing machinery. The grounds raised by the assessee on this issue are accordingly dismissed Disallowance of depreciation on account of re-classification of assets as 'building other than residential', eligible for depreciation @ 10%, which was originally classified by the assessee as 'Plant and Machinery', eligible for depreciation at 15% - HELD THAT:- As decided against assessee in own case [2019 (11) TMI 208 - ITAT DELHI] no merit in the logic given by the CIT(A) that the godowns, warehouses and other buildings which are utilized in an ordinary manner even for housing plant or machinery would not become plant or machinery by itself. Further, he has also given a finding that the GI sheets are such material which are utilized for the plant and by its nature this cannot be characterized as plant or machinery. Under these circumstances, we uphold the order of the CIT(A) and dismiss the grounds raised by the assessee on this issue. Addition of net of depreciation on account of capitalization of 25% of Technical Know-how fee - HELD THAT:- We hold that the ld. CIT(A) is not justified in upholding the action of the Assessing Officer in treating 25% of the technical know-how fees as capital in nature. We, therefore, set aside the order of the CIT(A) on this issue and direct the Assessing Officer to treat the entire amount as revenue in nature. The grounds raised by the assessee on this issue are accordingly allowed.
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