TMI Blog2017 (5) TMI 246X X X X Extracts X X X X X X X X Extracts X X X X ..... '. MAT computation - calculation of Book Profit u/s 115JB on account of the additions representing the disallowance on excess depreciation on UPS/electrical installation - Held that:- CIT(A) after considering the submissions of the assessee and the ratio laid down by the Hon’ble Apex Court in the case of M/s Apollo Tyres Ltd. Vs CIT (2002 (5) TMI 5 - SUPREME Court) decided the issue in assessee’s favour. In our opinion, the impugned order does not require any interference on our part when the issue has been decided by the ld. CIT(A) by following the ratio laid down by the Hon’ble Supreme Court - ITA No. 238/Del/2013 - - - Dated:- 27-4-2017 - Sh. N. K. Saini, AM, And Smt. Beena Pillai, JM For The Assessee : Sh. V. K. Tulsiyan, CA ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... relates to the rate of depreciation on electrical fittings. 4. As regards to this issue, the ld. Counsel for the assessee at the very outset stated that it is covered in assessee s favour vide order dated 09.08.2016 in assessee s own case in ITA No. 4559/Del/2010 for the assessment year 2006-07 wherein the relevant findings has been given in paras 7 to 7.2 which read as under: 7. We have heard both the parties and perused the records, especially the impugned order passed by the Ld. CIT(A). We find that Ld. First Appellate Authority has elaborately discussed the issue in dispute by considering the submissions of the assessee and adjudicated the issue vide para no. 3.0 to 3.2 of the impugned order. For the sake of convenience, we are ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... plant machinery' and claimed depreciation @ 15% and an additional depreciation of 10% on the same. For instance, armoured cables are used for power supply to the plant as well as for distribution of power between sub-stations. Control panels are used to control and regulate the flow of electricity into manufacturing and static converter system (panels) is used for an uninterruptible electrical power supply to the manufacturing process. But, without appreciating the nature and application of electrical installation items, the assessing officer has held that electrical installations are in the nature of electrical fittings and should be added to the block furniture and fittings and disallowed the claim of higher depreciation. In ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... efore, depreciation was allowable at the rate applicable to plant and machinery. Here also electrical installation is integral to the plant and machinery used for manufacturing steel and as the assessing officer has not controverted the contentions of the appellant company hence, I direct the assessing officer to allow depreciation on electrical installations @ 15% i.e. the rate applicable to 'plant machinery'. As a natural corollary, additional depreciation amounting to ₹ 1,02,12,533/- is also required to be allowed as the assessing officer disallowed the same considering electrical installations as part of furniture and fixture. 7.1 After going through the findings of the Ld. CIT(A), as aforesaid, in our considered ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n by the Ld. CIT(A) in his impugned order, we are of the considered view that the Ld. CIT(A) has passed a well reasoned order which does not need any interference on our part, hence, we uphold the same and dismiss the appeal filed by the Revenue. 5. The ld. DR could not controvert the said contention of the ld. Counsel for the assessee. So respectfully following the aforesaid referred to order dated 09.08.2016, we do not see merit on this issue of the departmental appeal. 6. Vide Ground Nos. 2 3, the grievance of the department relates to the calculation of Book Profit u/s 115JB of the Income-tax Act, 1961 (hereinafter referred to as the Act ) on account of the additions representing the disallowance on excess depreciation on UP ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eded in his jurisdiction to make such addition of ₹ 1,48,71,962/- in his computation of book profits. 9. The ld. CIT(A) after considering the submissions of the assessee decided the issue in its favour by observing in para 6.2 of the impugned order as under: 6.2 I have considered the facts of the case and the submissions made by the appellant. The above issue was decided by my Ld. predecessor in the A.Y. 2007-08 as under: I do agree with the contentions of the Ld, AR that the Assessing Officer has very limited powers to make adjustments in the profit and loss account of the assessee. The adjustments can be made to the profit and loss account as provided in Explanation to section 115JB of the Act and except this, the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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