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2018 (6) TMI 1609 - AT - Income TaxHigher depreciation @ 30% on dumpers, trucks, excavator/JCB - AO disallowed the claim of the assessee on the ground that the assessee has not given these vehicles on hire - higher depreciation is not applicable when the assessee is not in the business of running the vehicles on hire - HELD THAT:- In the present case, admittedly, the assessee is in the business of civil construction. The assessee had engaged his own Trucks for transporting earth to facilitate laying of roads. Assessee cannot be said to be in the business of hiring out his Trucks for removal of earth to make him entitled for higher rate of depreciation, as removal and transportation of earth are only sub-processes of his main business of laying of roads. The order of CIT (A) entitling the assessee for higher rate of depreciation on the premise that his motor vehicles were used for removal of earth and since the earth did not belong to the assessee, therefore, the use of his motor vehicles was on hire, in the opinion of this Court, is not correct, either on facts or in law as decided in Anamay Construction [2015 (10) TMI 2740 - MADHYA PRADESH HIGH COURT]. The argument of the appellant that the shifting of soil from sites etc. would make him eligible for the definition of hiring on behalf of others is therefore not relevant in this case and in my opinion he will not be entitled for a higher rate of depreciation @ 30% as has been rightly held by the AO. The disallowance is accordingly upheld - Decided in favour of revenue
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