TMI Blog2014 (3) TMI 392X X X X Extracts X X X X X X X X Extracts X X X X ..... Assistant Commissioner of Income Tax vs. Rajesh Jhaveri Stock Brokers P. Ltd. reported in [2007 (5) TMI 197 - SUPREME Court] - reopening in such a case would be permissible - The additional legal contentions raised by the assessee are based on factual matrix, foundation for which has not been laid in the petition - if there is no sanction as required under section 151 of the Act, the reopening would still be permissible – the findings of the ITAT upheld – Decided against Assessee. - Special Civil Application No. 22991 of 2005 - - - Dated:- 26-2-2014 - Akil Kureshi And Sonia Gokani,JJ. For the Appellant : Mr. B. S. Soparkar, Ld Adv for Mrs. Swati Soparkar, Adv For the Respondent : Mr. Nitin K. Mehta, Ld Adv. for Ms. Pauramib ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... themselves save energy and are energy saving devices is not acceptable for two reasons:Firstly, as per the aforesaid Rule, Instrumentation and monitoring system, which are energy saving device and includes one or more items mentioned in Para B would be eligible for higher depreciation rate, if any instrumentation system is installed in existing energy flow system and that instrumentation system gives ways and means to save the energy of an existing energy flow system, the equipments mentioned in Para B above are eligible for depreciation @ 100%. The Para B is different from Para E, wherein the terminology used is electrical equipment. Therefore, for example the automatic voltage controller being an electrical equipment, saves the energy, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ly 34% of the cost of meter. This is nonrefundable deposit as per statute. However, the assessee is showing this as refundable deposits and refunds to the consumer if the power connection is discontinued and meter is surrendered. The assessee is also not giving interest on such deposit. The instances of claiming the refunds are very rare. Therefore, the cost of meter should be reduced by the meter deposit in view of explanation 10 to section 43. This has not been done. This disallowance on this account would be Rs.1,51,30,000/. In view of the above, it is clear that the assessee is entitled for normal rate of depreciation, which is @25%. Therefore, the assessee has claimed excess depreciation of Rs.3,34,45,967/- on meters and capacitors, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... herefore, though the actual notice was issued on 31st March, 2005, the reasons recorded in the present case found a mention to the said proceedings. 4. In our opinion, the revenue has met with both the grounds of the petitioner. Firstly, the original file containing the reasons recorded shown to us and also to the counsel for the petitioner, shows that such reasons were recorded by Shri Surti on 30th March, 2005. What was recorded at pages30 to 32 are the reasons indicated by the predecessor of the said officer and hence, contained signature of Shri Pungalia. 5. Regarding mention of assessment proceedings of the Assessment Year 2002-2003, since Shri Surti was also the Assessing Officer in that case and he had, during the course of ass ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
