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2016 (12) TMI 937 - AT - Income TaxDenial of depreciation - non continuation of manufacturing activity of the company - Held that:- Assets have already entered into the block of assets, therefore, following the decision in the case of CIT Vs. G.R. Shipping (2009 (7) TMI 1169 - BOMBAY HIGH COURT ) hold that the assessee is entitled to depreciation on the plant and machinery which have entered into block of assets and are kept ready for use but not used during the year. It has also been held in various decisions that where the plant and machinery were kept ready for production, the assessee would be entitled to claim depreciation even though such plant and machinery were not actually put to use by the assessee during the year (CIT Vs. Nahar Exports Ltd. [2007 (5) TMI 171 - PUNJAB AND HARYANA HIGH COURT ] and CIT Vs. Shahbad Cooperative Sugar Mills Ltd. reported in [2011 (2) TMI 453 - PUNJAB AND HARYANA HIGH COURT ]). Also the submission of the Ld. Counsel for the assessee that the AO in the subsequent years has allowed depreciation on the plant and machinery could not be controverted by the Ld. Departmental Representative. - Decided in favour of assessee
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