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TMI Blog2016 (5) TMI 42X X X X Extracts X X X X X X X X Extracts X X X X ..... e Tribunal is justified in allowing depreciation on the new TG set at full rate i.e. 80% by relying on the internal minutes of the meeting between the assessee and the erectors i.e. TEIL Ltd.?" 3. During the subject assessment year, the respondent-assessee had purchansed and set up a 2.2 MW Turbine Generator (TG) set for generation of captive power. The respondent had claimed depreciation at full rate of 80% of its cost of Rs. 3.86 crores on the ground that the TG set had been put to use before 30th September, 2006. The Assessing Officer by his order dated 2nd December, 2009 disallowed the claim for full depreciation at 80% on the ground that the minutes of the meeting dated 17th September, 2006 between the representative of the responden ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rily 8.09.06. The TG Set tripped manually due to exhaust line vibration. 4. After work attended of exhaust line, TG Set restarted and loaded up to 600 KW. Due to high back pressure, 1.7 KG/CM2 as per design chart, TG Set tripped. Again TG Set restarted, loaded up to 600 KW & stopped after 7 hrs continuous running with satisfactorily. The all safety device were in line & working satisfactorily. TG set manually tripped due to boiler problem. 5. The TEIL will replace AVR temp. scanner as it is not working satisfactorily. At present DCW had provided spare temp. scanner. 6. On 16.09.06, TG set started & turbine was loaded up to 1100 KW & checked all parameters working satisfactorily & stopped TG set due to boiler problem. 7. Here ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eam generation. This required setting up a new boiler which was in the process of being erected. The Tribunal further relied upon the log sheet for the period from 19th September, 2006 to 26th September, 2006 which was a part of paper book to conclude that the TG set was being run satisfactorily at lower levels of load and it was only on account of steam not being sufficiently generated by the boilers that the TG set was not able to perform beyond the load of 1100KW. In the above circumstances, the Tribunal rendered a finding that the TG set had been 'put to use' on or before 30th September, 2006 and thus entitled to the benefit of depreciation at 80% as claimed by the respondent-assessee. This resulted in deletion of the disallowan ..... X X X X Extracts X X X X X X X X Extracts X X X X
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