TMI Blog1998 (2) TMI 30X X X X Extracts X X X X X X X X Extracts X X X X ..... the case, the Appellate Tribunal was right in holding that the motor vans and three wheelers owned by the assessee would fall under item No. III-D(9) of Appendix-I, Part I of the Income-tax Rules, 1962, and, consequently, they would be entitled to depreciation at the enhanced rate of 30 percent.?" The assessee, Stanes Tyre and Rubber Products Limited, Coimbatore, had claimed depreciation on the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... wever, the fact that these vans and three wheelers are motor vehicles is undisputed. The assets mentioned in Appendix I specify several classes of motor vehicles. The intention of Parliament was to permit depreciation on motor vehicles as is evident from the entries set out in the Appendix. The two entries therein relating to motor vehicles are, item No. III-C(7) which reads as under: "Motor car ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nal use, but are used primarily either for hire or reward, or for carrying goods, or performing other operations such as agricultural operations. Motor buses mentioned therein are passenger vehicles which are meant to carry a large number of persons. Such buses are normally used for hire or reward though some employers provide the facility of transportation to their employees in buses owned by the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... icates of the vehicles held that the three wheelers and the vans owned by the assessee had been registered as goods vehicles and were being used as such. The fact that the vans and three wheelers are not specifically mentioned in the schedule, does not disentitle the assessee from claiming depreciation if those vans and three wheelers are capable of being brought under any of the heads mentione ..... X X X X Extracts X X X X X X X X Extracts X X X X
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