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2016 (5) TMI 1514 - HC - Income TaxLoss on account of fall in value of the investment held as stock in trade - ITAT deleted the addition - HELD THAT:- The Court is not persuaded to concur with the view expressed in ING VYSYA Bank Ltd. [2013 (6) TMI 43 - KARNATAKA HIGH COURT] which appears to have been decided in the peculiar facts of that case. The Court prefers to adopt the reasoning in the decision in Karnataka Bank Ltd. [2013 (7) TMI 656 - KARNATAKA HIGH COURT] and HDFC Bank Ltd. [2014 (7) TMI 724 - BOMBAY HIGH COURT] . The Court accordingly declines to frame a question on this issue. Deduction claimed under Section 36(1)(vii) - ITAT allowed the Assessee to raise an additional ground AND remanded the said issue to the AO for a fresh determination - HELD THAT:- Having perused the impugned order, the Court finds that the ITAT accepted the plea of the Assessee that all the relevant facts in this regard were already on record. Only a pure legal ground was being urged on that basis. In the circumstances, the Court declines to frame a question on this issue as well. Addition on account of excess claim of depreciation on the LAN/WAN equipments - Assessee claimed depreciation @ 60% by treating them as computer peripherals whereas the AO granted depreciation @ 15% by treating them as plant and machinery - HELD THAT:- As urged that the said equipments were not essential for the working of computers in the Assessee's organization and, therefore, could not be treated as computer peripherals. The Court is unable to agree with the above submission. Where the Assessee uses a network of computers for its business purposes, the LAN/WAN equipment is an essential art of the computer system. The ITAT's view to the above effect cannot be said to be perverse. In the circumstances, the Court declines to frame a question on this issue as well.
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