TMI Blog2014 (2) TMI 222X X X X Extracts X X X X X X X X Extracts X X X X ..... ITAT VISAKHAPATNAM ] the addition made by the Assessing Officer deleted - No contrary decision was brought on record –There was no infirmity in the order of the learned CIT(A) who has deleted the addition – Decided against Revenue. Deletion on account of excess deprecation on dumpers – Held that:- The decision in Asstt. CIT Versus M/s Sayeed Iqbal [2014 (1) TMI 744 - ITAT JODHPUR] followed - the assessee was eligible for claiming depreciation at the same rate at which depreciation was allowable on motor lorries - The CIT(A) has allowed the claim of the assessee by following the decision of the jurisdictional Tribunal and nothing is brought on record that the decision of the ITAT Jodhpur Bench relied by the learned CIT(A) had been revers ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... so stated that full payments of sawing charges during the year had been made and no amount was payable, hence it was not covered by section 40(a)(ia) of the Act. The reliance was placed on the decision of ITAT, Jaipur 'A' Bench in the case of Jaipur Vidyut Vitran Nigam Ltd. vs. Dy. CIT [2009] 123 TTJ (JP) 888. However, the Assessing Officer was not satisfied with the reply of the assessee and observed that the party to whom the payment was made in the form of job work charges had to put in various inputs which comprised of the gangsaw machine, various components, tools, fuel, electricity, labour working on machine and repair maintenance cost in order to undertake the above task. Therefore, the payment was made to the party which was a com ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ctor or sub contractor. The appellant does not have any amount payable on account of sawing charges hence it does not covered by sec. 40(a)(ia) of the Income Tax Act, 1961. Our further humble submission is that the recipient of the sawing charges are also regular assessee of the Income Tax, declaring the sawing charges receipts as their income and also paying income tax as applicable. It will be double taxation on one transaction." 4.1 The learned CIT(A), after considering the submissions of the assessee, deleted the addition by observing in para 4.3 of the impugned order as under: "4.3 I have considered the submissions of the appellant as well as the findings of the AO. It is seen that out of total job charges paid Rs.14,43,278/-, Rs ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d of appeal is allowed." 5. Now the Department is in appeal. The learned D.R. strongly supported the order of the Assessing Officer and reiterated the observations made in the assessment order dated 30/12/2009. 6. We have considered the submissions of learned D.R. and carefully gone through the material available on record. In the instant case it is an admitted fact that there was no contract between the assessee and M/s Keshriyaji Marble Granites Pvt. Ltd. The assessee was purchasing the marble blocks from the market. In the instant case nothing was payable as on 31/03/2007 on account of job charges. The learned CIT(A) after keeping in view the decision of ITAT, Special Bench, Visakhapatnam in the case Merilyn Shipping Transports V ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n @30% was available to the vehicles which are in the nature of lorry having capacity and capability for carrying on goods or other items. He further stated that the dumper comes within the expression of earth moving machinery. The reliance was placed on the decision of Hon'ble Guwahati High Court in the case of CIT Vs. Sibson Construction Company 221 ITR 468 (Gauhati). The Assessing Officer also observed that the assessee was not in the business of running the motor buses/motor lorries on hire and the hiring business of the assessee was with regard to the Plant Machinery pertaining to the marble business rather than the business of running motor buses/motor lorries on hire on which 30% depreciation was allowed. The Assessing Officer held ..... X X X X Extracts X X X X X X X X Extracts X X X X
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