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TMI Blog2016 (1) TMI 402X X X X Extracts X X X X X X X X Extracts X X X X ..... Shri Milind S. Kothari, the Ld. representative for the assessee, submitted that the assessee is engaged itself in the business of finance and leasing. In the course of its business activity, the assessee leased out boilers to M/s Kothari Sugars and Chemicals Limited. The assessee also leased out windmill and boiler to M/s Mookambikai Spinning Mills Ltd. The assessee claimed depreciation at the rate of 100%. However, the Assessing Officer restricted the same to 50% on the ground that the asset, namely, boilers and windmill are put to use for less than 180 days. Referring to the order of this Tribunal in the first round of litigation, the Ld. representative submitted that this Tribunal remitted the matter back to the file of the Assessing Of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... brand new windmill. It is a common knowledge that boiler and windmill are not available in the market in a ready built condition. Therefore, the assessee cannot purchase boiler and windmill on outright basis and lease out the same instantly. The specific case of the assessee is that the assessee purchased new boiler and windmill and thereafter it was leased out. Therefore, the assessee has to purchase various components which constitute boiler and windmill and it has to be assembled and installed to call the asset as a boiler or windmill. If the various parts of the boiler and windmill are not assembled to constitute boiler and windmill, it cannot be construed as boiler and windmill at all. Therefore, mere delivery of various components of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... set was already delivered, the date of delivery was not mentioned. Therefore, both the representatives for assessee and the Revenue had agreed before this Tribunal to remit the matter to the file of the Assessing Officer to ascertain the correct date of delivery to the lessee and on that basis, depreciation allowable has to be determined. The Assessing Officer on the basis of the direction of this Tribunal, found that the assessee leased out the boiler said to be acquired from M/s Thermax Ltd. The lessee admitted before the Assessing Officer by letters dated 31.01.2000 and 13.03.2000 that the installation of boilers was completed in the premises on 09.10.1996. The Assessing Officer also found that the components and accessories of the boile ..... X X X X Extracts X X X X X X X X Extracts X X X X
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