9911796707
TMI Blog2014 (1) TMI 483X X X X Extracts X X X X X X X X Extracts X X X X ..... venue in appeal ITA No.1585/Hyd/2012 for assessment year 2008-09 read as follows- 1. The order of the learned CIT(Appeals) is erroneous both on facts and in law. 2. The learned CIT(Appeals) ought to have sustained the disallowance of depreciation made by the Assessing Officer basing on Apex Court order in the case of Escorts Ltd. & Others Vs. Union of India (199 ITR 44). 3. The Learned. CIT(Appeals) erred in both facts and in law in directing to allow depreciation when the assessee society has applied part of its gross receipts towards capital expenditure and also claimed depreciation on such capital assets, thereby meaning double deduction of the same amount in this process, which is not permissible." Revenue's ground in the other appe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r issue came up for consideration before the Jaipur Bench of this Tribunal in the case of Jaipur Stock Exchange (108 TTJ 393)(Jp), wherein it was held that depreciation on fixed assets is an allowable deduction, which is necessary to arrive at the income available for application to charitable purpose. Further, in the case of Mahila Sidh Nirman Yojna V/s. IAC (50 ITD 472), it has been held by the Delhi Bench of the Tribunal that merely because entire value of asset is allowable as expenditure under S.11, it is not sufficient to deny claim for depreciation unless the value of asset has been actually allowed as expenditure. If not so allowed in the year of acquisition, assessee will be entitled to depreciation. Further, it was held by the Coc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ned order of the CIT(A) and restore the matter to the file of the Assessing Officer for fresh examination of the matter in relation to the issue in dispute. The Assessing Officer is accordingly directed to verify in respect of each asset on which depreciation claimed, whether the value of such asset was in fact allowed under S.11, and if it was so allowed, the depreciation would not be allowed in respect of such asset. Only if the value of the asset was not allowed as expenditure under S.11, the Assessing Officer is required to allow depreciation thereon, as per the rate applicable to those assets, as held in the case of Mahila Sidh Nirman Yojna, cited supra. This issue raised by the Revenue is set aside to the file of the Assessing Officer ..... X X X X Extracts X X X X X X X X Extracts X X X X
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