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2024 (2) TMI 1236 - AT - Income TaxDepreciation on car purchased in the name of the Director - depreciation @15% claim has been disallowed as asset could not be said to be of the company - However, AO allowed deductions for interest on car loan and insurance expenses. - HELD THAT:- As the purchase of a car was made by the appellant company which is also reflected in the books of account of the appellant company and therefore it can be well said that the car is commercially used for the purpose of business of the company and the depreciation thereon cannot be denied; more so, the interest on car loan and car insurance was allowed by the department. Thus, we find that the appellant’s case is squarely covered in the case of PCIT vs. Asian Mills (P.) Ltd. [2021 (12) TMI 365 - GUJARAT HIGH COURT] following the judgment passed in the case of Mysore Minerals Ltd [1999 (9) TMI 1 - SUPREME COURT] we allow depreciation in accordance with law. Appeal of assessee is allowed.
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