TMI Blog2021 (7) TMI 999X X X X Extracts X X X X X X X X Extracts X X X X ..... nior Standing Counsel For the Respondent : Mr.N.V. Bajaji JUDGMENT ( Judgment was delivered by M. DURAISWAMY, J. ) Challenging the order passed in I.T.A.No.2005/Mds/2014 in respect of the Assessment Year 2005-2006 on the file of the Income Tax Appellate Tribunal, Chennai, B Bench (for brevity, the Tribunal), the Revenue has filed the above appeal. 2. The assessee is engaged in the business of development of infrastructural facilities and developed a bye-pass road bridge in Coimbatore. The assessee has claimed depreciation on road/bridge. In the assessment order, the Assessing Officer has held that the assessee is not entitled for depreciation on road/bridge, since the assessee itself amortized the cost of the road/b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . M/s. L T Transportation Infrastructure Ltd., Chennai], wherein this Bench held as follows:- ......... 3. Heard Mr.Karthik Ranganathan, learned Standing Senior Counsel for the appellant and Mr.V. Balaji, learned counsel for the respondent. 4. Both the counsels contended that the Hon'ble Supreme Court in the decision in Principal Commissioner of Income Tax Vs. GVK Jaipur Expressway Ltd., reported in [2018] 100 taxmann.com 96 (SC) has settled the present substantial question of law in favour of the assessee. The relevant portions of the decision of the Hon'ble Supreme Court is extracted hereunder. 14. In our opinion, the term owned as occurring in Section 32 (1) of the Income-tax Act, 1961 must be assigned a wider ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nsistent gradual process of estimating and allocating cost of capital investments over estimated useful life of asset in order to match cost against earnings............ 19. It is well-settled that there cannot be two owners of the property simultaneously and int he same sense of the term. The intention of the Legislature in enacting Section 32 of the Act would be best fulfilled by allowing deduction in respect of depreciation to the person in whom for the time-being vests the dominion over the building and who is entitled to use it in his own right and is using the same for the purposes of his business or profession. Assigning any different meaning would not subserve the legislative intent. To take the case at hand it is the appellan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... llottee. No third person intervenes. the part payment made by allottee are with the intention of acquiring title. the delivery of possession by Housing Board to allottee is also a step towards conferring ownership. Documentation is delayed only with the idea of compelling the allottee to observe the schedule of payment. 5. After discussing the various decisions, the Hon'ble Supreme Court clearly held that the assessee is entitled to claim depreciation of public roads, treating the same as building. .......... 5. Mr. N.V. Balaji, learned counsel appearing for the respondent submitted that in view of the ratio laid down by the Division Bench of this Court in T.C.A. Nos.355 to 358 of 2011 [cited supra], the appeal may be dismi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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