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2014 (12) TMI 877 - AT - Income TaxClaim of higher depreciation on windmill Expenses made on windmill Held that:- Following the decision in CIT vs. Parry Engineering and Electronics P. Ltd. [2014 (12) TMI 752 - GUJARAT HIGH COURT] windmill would require a scientifically designed machinery in order to harness the wind energy to the maximum potential - Such device has to be fitted and mounted on a civil construction, equipped with electric fittings in order to transmit the electricity so generated - Such civil structure and electric fittings, therefore, it can be well imagined, would be highly specialized - the installation of windmill and the civil structure and the electric fittings are so closely interconnected and linked as to form the common plant - the legislature has provided for higher rate of depreciation of 80 per cent on renewable energy devises including windmill and any specially designed devise, which runs on windmill - The civil structure and the electric fitting, equipments are part and parcel of the windmill and cannot be separated from the same - The assessee's claim for higher depreciation on such investment was rightly allowed Decided against revenue. Contribution to Group Gratuity Scheme disallowed Held that:- Assessee has filed a Certificate of Commissioner of Income-tax, Ahmedabad-III, Ahmedabad dated 04.10.2011 and submitted that the gratuity fund is now approved by the Commissioner of Income-tax and that the expenditure claimed was allowable deduction to the assessee - this certificate was not available with the assessee during the course of assessment proceedings before the AO and during the course of appellate proceedings before the CIT(A) thus, the order of the CIT(A) is set aside and the matter is remitted back to the AO for fresh adjudication Decided in favour of assessee.
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