TMI Blog2015 (11) TMI 1119X X X X Extracts X X X X X X X X Extracts X X X X ..... ost of the asset becomes nil, there is no question of allowing any depreciation. If the depreciation is allowed then it would amount to double deduction. The income of the charitable institution has to be computed on commercial principle in case the assessee is not claiming exemption under section 11 of the Act. The assessee can also claim depreciation in case the exemption under section 11 was de ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . N. Rajan for the respondent. ORDER The order of the Bench was delivered by 1. N. R. S. Ganesan (Judicial Member).-This appeal of the Revenue is directed against the order of the Commissioner of Income-tax (Appeals)- I, Coimbatore, dated May 27, 2014 and pertains to the assessment year 2010-11. 2. The only issue that arises for consideration is with regard to claim of depreci ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ins after allowing the depreciation, it has to be allowed as application of income. Learned counsel further submitted that there are divergent opinions on this issue, therefore, the opinion which favours the assessee has to be followed. 5. We have considered the rival submissions on either side and also perused the material available on record. We have also gone through the provisions of sectio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... easons, since the cost of the asset is nil as the cost was already allowed as application of income, this Tribunal is of the considered opinion that the assessee is not entitled for depreciation. Section 32 of the Act falls in Chapter IV under heading Computation of total income, however, section11 falls in Chapter III which provides for incomes which do not form part of the total income. Therefor ..... X X X X Extracts X X X X X X X X Extracts X X X X
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