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2008 (10) TMI 369 - MADRAS HIGH COURTDeduction in relation to any block of assets - assessee is a limited company - claimed depreciation - depreciation was restricted to the extent of seventy five per cent - third proviso to clause (ii) of section 32(1) does not lay down any condition that this restrictive clause with regard to claim on depreciation would apply only if the assets had been put to non-business use - assessee them-selves filed a revised return restricting the depreciation to 75 per cent. and that this point was specifically argued before the Commissioner - counsel for the appellant submits that the appeal is restricted to the quantum of depreciation and not with regard to additional tax especially if a revised return has been filed. is clear that this is a special amendment brought about to meet a particular critical situation and was applied for only one year so that addi-tional resources could be mobilised and, therefore, the approach that has been adopted by the Tribunal with regard to depreciation claimed, other-wise, cannot apply - Held that: - Tribunal had totally misunderstood this third proviso to clause (ii) of section 32(1) for the year 1991-92. Depreciation is restricted to 75 per cent. and this restriction is applicable only to companies and also only for the assessment year 1991-92. The appellant being a com-pany and the assessment year in question being 1991-92, the question raised by the Revenue must be answered in favour of the Revenue. Accord-ingly, the tax case (appeal) is allowed. No costs
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