TMI Blog2015 (11) TMI 489X X X X Extracts X X X X X X X X Extracts X X X X ..... epreciation on land which was used for installation of WEG at 80% as claimed by the assessee is concerned, no material whatsoever has been brought on record by the assessee to make out as to how the land on which WEG functions, got depreciated. Even no deterioration is proved to be caused to land because of installation of plant and machinery on the same. Rather, it is a matter of common knowledge that the land, on which some industry is running, gets appreciated in terms of its value. So, no ground is made out to interfere into the order of Ld. CIT(A) in disallowance of depreciation on WEG land to the tune - Decided against assessee. - ITA No. 6633 /Del/2013 - - - Dated:- 13-10-2015 - T S Kapoor, AM And Kuldip Singh, JM For the Pe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 77; 6,51,641/- and ₹ 2,37,010/- on account of water proofing expenses. Vide order sheet entry dated 22.01.2013 the assessee was called upon to show cause as to why the same should not be capitalized being an expenditure of capital nature. Finding the reply dated 07.02.2013 not tenable, an amount of ₹ 7,96,187/- is added back to the returned income of the assessee and ₹ 88,465/- is allowed as depreciation @ 10% on building. 4. It has also been observed that during assessment proceedings for the year 2006-2007 to 2009-2010 depreciation claimed by assessee on WEGs land was disallowed. Assessee company has filed chart showing depreciation on WEG for the year 2010-2011 as ₹ 9,216/- and the same was disallowed as in cas ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... u/s 30A(ii) of the Act. Similarly, Hon'ble Jurisdictional High Court in the judgement cited at CIT Vs Delhi Press Samachar Patra (P.) Ltd., 322 ITR 590 (Del.) affirmed the view taken by the Hon'ble Tribunal that in case assessee had incurred expenditures, only to preserve and maintain existing asset and that expenditure was not of a nature which brought into being a new asset or created a new advantage of an enduring nature, deletion has to be allowed. 10. By applying the ratio of judgement in the case of Kaira Distt. Cooperative Milk Producers Union Ltd. and Delhi Press Samachar Patra (P.) Ltd. (supra), the expenditure of ₹ 7,96,187/- incurred by the assessee for water proofing work, fall in the category of current repair ..... X X X X Extracts X X X X X X X X Extracts X X X X
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