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TMI Blog2015 (10) TMI 2742X X X X Extracts X X X X X X X X Extracts X X X X ..... s a private limited company and is engaged in the business of manufacture and sale of alloy steel castings, foundry equipments, hiring of gas cylinders and generation of electricity from windmill. The assessee filed its return of income for the impugned assessment year on 28.09.2011 declaring total income of Rs. 7,85,94,683/-. During the course of scrutiny assessment, the Assessing Officer made disallowance of depreciation claimed by the assessee on windmill. The assessee had claimed depreciation on Rs. 6,65,08,380/- i.e. entire cost of windmill unit including concrete base structure and electrical installations. The Assessing Officer held that civil construction and electrical fittings are not part of windmill, therefore, these components ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Pvt. Ltd. Sangli - ITA No.1495/PN/2011 dated 30.01.13 (Pune Bench "B") 4. Kutti Spinners (P.) Ltd. (2014) 51 taxmann.com 534 (Chennai - Trib.) 5. On the other hand, Shri Hitendra Ninave representing the Department, vehemently supported the findings of Commissioner of Income Tax (Appeals) and prayed for dismissing the appeal of the assessee. 6. We have heard the submissions made by the representatives of both sides and have perused the orders of the authorities below. We have also considered the decisions on which the ld. AR has placed reliance in support of his submissions. The only issue raised in the appeal is whether the civil work forming the foundation of windmill and electrical installations are integral part of windmill and eligi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion. In other words, the installation of windmill and the civil structure and the electric fittings are so closely interconnected and linked as to form the common plant. As already noted, the legislature has provided for higher rate of depreciation of 80 per cent on renewable energy devises including windmill and any specially designed devise, which runs on windmill. The civil structure and the electric fitting, equipments are part and parcel of the windmill and cannot be separated from the same. The assessee's claim for higher depreciation on such investment was, therefore, rightly allowed." 7. The Hon'ble Bombay High Court in the case of CIT-III, Pune Vs. Cooper Foundry Pvt. Ltd. (supra), has held that cement foundation is to be incl ..... X X X X Extracts X X X X X X X X Extracts X X X X
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