Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2012 (8) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2012 (8) TMI 666 - AT - Income TaxDepreciation allowance u/s 32 of the Act - Whether cost of assets has to be reduced by the amount of loan waived off during the year under – Held that:- Government of India waived loans - it was decided by the company to revalue its fixed assets downwards - actual cost of assets and WDV of assets for the purposes of allowances of depreciation is to be taken as per section 43(1) of the Income Tax Act 1961 - reduction done by the company in the Gross block of assets is on its own decision and on assets already capitalized in the past as well as put to use in the past - depreciation is allowable on the reduced written down value of the assets – In favor of assessee Expenses incurred for mining rights - capital expenditure or revenue – Held that:- Assessee contended that the payment to Govt. for mining rights mainly on account of mining charges claimed by assessee allowed is a revenue expenditure and are allowed as depreciation u/s 32 as intangible asset/right has not been considered by the CIT(A) - issue remanded back to the file of A.O.
|