TMI Blog2014 (12) TMI 1263X X X X Extracts X X X X X X X X Extracts X X X X ..... is claim of depreciation of the assessee, allowed by the CIT(Appeals). 2. The assessee is a trust registered u/s.12A of the Income Tax Act, 1961 (herein after referred to as the Act ). The assessee filed its return of income for the AY. 2010-11 on 13-08-2010 declaring its taxable income as NIL . In scrutiny assessment, the Assessing Officer held that the assessee is not eligible for claiming depreciation on assets. U/s.11 capital expenditure incurred by the trust is allowable as deduction. Any further allowance by way of depreciation amounts to double deduction. The Assessing Officer further held that depreciation is not a cash expenditure, the amount of depreciation remains with the trust itself and hence not utilized for the charitab ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sed the orders of the authorities below. The Revenue has come in appeal impugning the findings of CIT(Appeals) in allowing the claim of depreciation of the assessee. It is an un-disputed fact that the issue in appeal has already been adjudicated in favour of the assessee by the co-ordinate bench of the Tribunal in the cases of : i. M/s.Ramananda Adiglar Foundation in ITA No.1790/Mds/2012 for the AY.2009-10 decided on 14-02-2013; ii. M/s.Ellen Charitable Trust in ITA No.1910/Mds/2013 decided on 13-02-2014; iii. M/s.Vidya Vikasini Society in ITA No.1935/Mds/2013 decided on 07-03-2014. The Tribunal while allowing the claim of the assessee in case of M/s.Ramananda Adiglar Foundation (supra) has placed reliance on the decisions of Ho ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cts and circumstances of that case held that it amounts to double deduction in respect of same expenditure which is not permissible under the provisions of the Income Tax Act. The facts in the present case are entirely different. Thus, the decision rendered in the case of J.K. Synthetics Ltd., Vs. Union of India (supra) by the Hon'ble Supreme Court of India is distinguishable. The Hon'ble High Courts in various decisions have unambiguously held that in such cases, the claim of depreciation does not amount to double deduction. The Tribunal has also been consistently following similar view. The appeal of the Revenue is dismissed for the aforestated reasons. Order pronounced on Thursday, the 11th December, 2014 at Chennai. - ..... X X X X Extracts X X X X X X X X Extracts X X X X
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