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2023 (4) TMI 84 - ITAT CHENNAIDisallowance of administrative expenses - 20% of “Other Administrative Expenses” was disallowed and added to the total income since the assessee did not furnish the supporting details like bills/vouchers during the course of assessment proceedings - HELD THAT:- Since personal element involved in these expenses cannot be denied, the AO disallowed 20% of the expenses claimed under the head “Other Administrative Expenses”. On perusal of the orders of authorities below, we find that both the AO as well as CIT(A) has not doubted about incurring of administrative expenses. Disallowance of 10% of these expenses would relevant and to meet the ends of natural justice. Accordingly, we sustain the disallowance under the head “Other Administrative Expenses” only to the extent of 10% of the total expenses claimed by the assessee. Disallowance of prior period depreciation claimed - HELD THAT:- After considering the submissions of the assessee and as per the principle laid down in the case of M/s. Tipco Industries Ltd. [2012 (8) TMI 996 - ITAT MUMBAI] wherein, it was held that the expenditure relating to one year cannot be claimed in any other year, the ld. CIT(A) dismissed the ground raised by the assessee. The depreciation has to be claimed in the year under consideration only and thus, we find no reason to interfere with order passed by the ld. CIT(A) on this issue. Accordingly, the ground raised by the assessee is dismissed. Disallowance of excess depreciation claimed on Robotix Kits - assessee has claimed depreciation on Robotix kits @ 60% - Rate was reduced to 15% by the AO in the assessment order citing the ITAT [2018 (9) TMI 2116 - ITAT CHENNAI] order dated 12.09.2018 in assessee’s own case - CIT(A) confirmed the disallowance made by the AO - HELD THAT:- By following the above decision of the Tribunal, AO has reduced the claim of depreciation on Robotix kits @ 15%, which was rightly confirmed by the ld. CIT(A). We find no infirmity in the order passed by the ld. CIT(A) on this issue. The case law relied on by the ld. Counsel for the assessee in the case of Financial Software and Systems Private Limited [2019 (6) TMI 1454 - ITAT CHENNAI] has no application to the facts of the present case for the reason that the computer or software attached is used for operation of robotix kits and therefore, it cannot be construed as if the robotix kits itself is a computer. Thus, the ground raised by the assessee is dismissed.
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