TMI Blog2021 (12) TMI 366X X X X Extracts X X X X X X X X Extracts X X X X ..... e said contention canvassed by the assessee. Gupta Global Exim P. Ltd held that the user of vehicles in the business of the assessee is the test and that the receipt/income is included in the business income would not i.e., qualify for additional depreciation. Except the above, no other point is urged. In our view the point urged is no more res integra and the test laid down by the Supreme Court in Gupta Global Exim P. Ltd is clear on the point. By appreciating the circumstances and also following the judgment in Gupta Global Exim P. Ltd the questions are answered in favour of the Revenue and against the assessee. - ITA NO. 50 OF 2018 - - - Dated:- 2-11-2021 - THE HONOURABLE MR.JUSTICE S.V.BHATTI AND THE HONOURABLE MR.JUSTICE BASANT BAL ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vided transport facility/school buses for attending the school, by picking up and dropping both the students and the teachers. The assessee claimed additional depreciation for the school buses operated by the assessee provided for the above additional service. The claim for additional depreciation has been rejected by the authorities including the Tribunal under the Act. We find it convenient and useful to excerpt the operative portion of the findings recorded by the Tribunal which read thus: 6. We have considered the rival contentions and perused the orders of the authorities below. Assessee was a trust registered u/s.12A of the Act and was claiming its income exempt u/s.11 of the Act. Thus assessee was not at in any business at all. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 7; 12,50,639/- in the total business income is not the determinative factor for deciding whether trucks were used by the assessee during the relevant year in a business of running them on hire. In our view, the Commissioner of Income tax (Appeals) had erred in relying upon the accrual of income as a determinative factor for coming to the conclusion that the trucks were used in a business of running them on hire . Thus in our opinion, assessee was never in the business of running buses on hire and could not claim enhanced deprecation relying on entry III(3) (ii) of new Appendix 1. We do not find any reason to interfere with the orders of the lower authorities. Hence the appeal. 3. Mr Anil D Nair places reliance on the judgment ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... be treated as reimbursement to the School by the students and teachers on cost-to-cost basis but not as consideration in any business transaction. For the purpose of additional depreciation what is important is the vehicles must have been used for the business purpose of the assessee. The assessee since is running the school cannot be said to be doing business in plying passengers from one place to another. He places strong reliance on the judgment of the Supreme Court in Commissioner of Income Tax v. Gupta Global Exim P. Ltd., [2008] 305 ITR 132 (SC) on: Held, setting aside the decision of the High Court and remanding the matter for fresh decision to the Commissioner (Appeals), that a neat question of law arose in the matter. Und ..... X X X X Extracts X X X X X X X X Extracts X X X X
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