Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2019 (11) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (11) TMI 212 - HC - Income TaxDepreciation @ 30% - buses which were owned by the assessee and were being run on hire - New Appendix I (effective from assessment year 2006-2007 onwards), as per item No.III (3) (ii) Motor buses, motor lorries and motor taxis used in a business of running them on hire - Tribunal rejected revenue appeal - HELD THAT:- AO disallowed the depreciation holding that this would be applicable only to such businesses who had taken the buses on hire - Tribunal having dismissed the appeal of the Revenue, it is before us in these appeals. A bare perusal of item No.III (3) (ii) quoted above makes it clear that the interpretation given by the Commissioner and the Tribunal is correct and natural while that sought to be given by the Assessing Officer is most unnatural and really makes the provision un-meaning because then it would imply that an Assessee is using the motor buses/ motor lorries and motor taxies in a business of running. We asked the learned counsel for the appellant what the business of running of buses, lorries and taxies would be? He is not in a position to deny that the business of running buses, lorries and taxies can only be for hire because in every other case such vehicles would be only utilized for use of assessee and not for a business. Thus the natural meaning of the phrase would apply in the present case and those Assessees who are running automobiles for hire would be liable to claim a higher depreciation than those whose automobiles are meant for their use. We are not able to find any fault with the judgment and orders of the Tribunal. No other question of law arises.
|