2013 (4) TMI 794 - AT - Income Tax

Summary

Issues Involved: Appeal against disallowance of depreciation claim on a bridge constructed under BOT Scheme for assessment year 2009-10.

Summary:
The appeal by the Revenue was directed against the order of the Commissioner of Income-tax(Appeals)-I, Hyderabad for the assessment year 2009-10. The assessee, engaged in civil construction, filed its return of income declaring an income. The case was selected for scrutiny, and the Assessing Officer disallowed the assessee's claim for depreciation on a bridge constructed under BOT Scheme. The Assessing Officer observed that depreciation was allowable only on assets owned by the assessee, while the ownership of the land and the bridge rested with the Government of Andhra Pradesh. On appeal, the CIT(A) accepted the claim of the assessee based on previous Tribunal decisions for earlier years. The Revenue appealed against the CIT(A)'s order.

Upon hearing both sides and reviewing the orders and material on record, the Tribunal noted that the issue of depreciation on the bridge had been considered in the assessee's own cases for earlier years. The Tribunal found no infirmity in the CIT(A)'s order as it followed the previous Tribunal decisions. Therefore, the Tribunal upheld the CIT(A)'s order and dismissed the Revenue's appeal.

In conclusion, the Tribunal upheld the CIT(A)'s decision to allow depreciation on the bridge constructed under BOT Scheme, based on consistent Tribunal decisions in the assessee's own cases for earlier years. The Revenue's appeal was dismissed on 5th April 2013.