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2018 (5) TMI 1988 - AT - Income TaxNature of expenses - repairs and maintenance expenses - revenue or capital expenditure - HELD THAT:- CIT(A) observed that expenditure has been incurred in relation to fabrication and erection in form of new asset and laying new pipe line and structure for maintaining the Jetty in working condition, therefore such fabrication expenditure mean something which is fabricated or manufactured. The assessee himself has used the "word fabrication" then it cannot be said that fabrication was done of any existing assets. As a result of fabrication new asset will come into existence, hence, the expenditure incurred on such account would be in capital in nature giving rise to enduring benefit as held by Hon'ble Supreme Court in the case of Ballimal Naval Kishor Vs. CIT 1997 (1) TMI 3 - SUPREME COURT] wherein it has been emphasized that the expenditure under head repairs and maintenance within the purview of capital expenditure were the expenditure incurred gives enduring benefit - CIT(A) has correctly upheld the addition to the extent of expenditure after allowing depreciation thereon in accordance with law. - Decided against assessee Depreciation of Electrical Installation - @ 10% OR 15% - HELD THAT:- As decided in ow case [2017 (11) TMI 1700 - ITAT AHMEDABAD] assessee is eligible for depreciation @15% instead of 10% allowed by the AO in respect of Jetty & Trestle, accordingly the Assessing Officer is directed to allow deduction of depreciation claimed @15% out of 10%. This ground of appeal is therefore allowed.
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