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2012 (6) TMI 349 - HC - Income TaxWhether assessee is entitled to depreciation on the purchase value of abkari licence under Section 32(1)(ii) of the Income-tax Act – Held that:- abkari licence is a business right given to the party to carry on liquor trade. abkari licence squarely falls under section 32(1)(ii) on which the assessee is entitled to depreciation at 25% of the written down value as provided under Section 32(1) read with Part B of Old Appendix I under rule 5 of the Income-tax Rules. However, assessee's claim for depreciation at 25% of the actual cost is not allowable because depreciation has to be allowed only on written down value. The previous year relevant for the assessment year being the 3rd year of business, the assessee is entitled to depreciation at 25% of the written down value after reckoning depreciation for the preceding years. appeal is accordingly allowed
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