Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2013 (1) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2013 (1) TMI 733 - AT - Income TaxRevision u/s 263 - CIR(A) directed ao to allow depreciation on windmill at 40 per cent on windmill - Held that:- While completing the assessment under section 143(3) of the Act, the Assessing Officer has not discussed about the issue of depreciation of windmill, may be for the reason that he was satisfied that the assessee is eligible for depreciation and, therefore, since he has not disallowed any part of depreciation, there was no need for any discussion in the assessment order. Ledger account of the windmill in the books of the assessee we could see that the assessee has made initial payment of ₹ 13.50 lakhs to the supplier and the rest of the payments were made by the Indian Overseas Bank to the supplier directly from October 6, 2006 onwards. The TNEB has issued a letter dated September 30, 2006 stating that generation of power by the windmill has been effected on September 29, 2006. The Department has not disputed the certificate issued by the TNEB that the windmill effected supply on September 29, 2006. In the absence of any material placed before us by the Department to show that the assessee has not filed all these details before the Assessing Officer at the stage of completion of assessment under section 143(3) of the Act, it can be said that the Assessing Officer has examined all these documents and came to the conclusion that the windmill has been erected and commenced generation of power on September 29, 2006 and, therefore, the claim of the assessee is in accordance with the provisions of the Act. In the circumstances, it can be said that the Assessing Officer has taken one of the two views possible in allowing the claim for depreciation on windmill and in such circumstances, it cannot be said that the order passed by the Assessing Officer is erroneous and prejudicial to the interests of the Revenue as held by the hon'ble Supreme Court in the case of Malabar Industrial Co. Ltd. v. CIT [2000 (2) TMI 10 - SUPREME Court ] . Thus revision order quashed - Decided in favour of assessee.
|