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2016 (7) TMI 1242 - AT - Income TaxClaim of depreciation - asset not put to use - Held that:- If an assessee is allowed the claim of depreciation in a particular year then in the subsequent year depreciation is allowed at the prescribed rate on the written down value (w.d.v) of the asset. In our view the intention of the Legislature is that it has to be first ensured that asset is owned, wholly or partly and is used for business or profession and once it is used then it comes under automatic mode of claim of depreciation on the w.d.v. method on the value of asset as on the last date of the previous financial year subject to carrying on business activities during the year. In the appeal before us it has been accepted by ld. Assessing Officer as he has allowed some part of depreciation and has also allowed the claim of other expenses incurred by the assessee during the year. We are, therefore, of the view that ld. CIT(A) has rightly allowed the claim of depreciation on the plant and machinery which were acquired in earlier years and depreciation was allowed. In the result, appeal of Revenue is dismissed. - Decided in favour of assessee.
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