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2019 (2) TMI 711 - AT - Income TaxDepreciation on an LED panel acquired by the assessee from its sister concern - depreciation @60% - whether the LED panel could be considered as equivalent to a computer for allowing deprecation at the rate of 60%? - Held that:- There can be no case for the Revenue that the acquisition of the LED panel from M/s. Tricom Vision by the assessee was for reduction of tax liability by claiming excess depreciation. In our opinion CIT(A) was justified in holding that cost to the assessee for the purpose claiming depreciation was cost incurred by it for acquiring the LED panel from M/s. Tricom Vision. As to the question whether the LED panel is equivalent to a computer for availing depreciation at the rate of 60% for computers in New Appendix I of Income Tax Rules, 1962, term "computer" has not been defined in the Act. Characteristic of the LED Panel acquired by the assessee has been given in the registered valuer’s report which more or less fits to the definition of computer as given in Information Technology Act, 2000. It had memory function, ability for processing and could also perform logical action by synchronizing the inputs to display. Thus in our opinion, the LED panel purchased by the assessee was eligible for claiming depreciation at the rate of 60%. - decided against revenue
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