1970 (11) TMI 15 - HC - Income Tax

Assesee, a dealer in motor trucks has a factory for repairing and servicing trucks sold by it - claim for depreciation on the site where building is erected - held that depreciation is not allowable on cost of land but it is allowable only on the cost of superstructure

Summary

The High Court of Allahabad ruled that depreciation under section 10(2)(vi) can only be allowed on the superstructure, not on the land. The court cited the decision in Commissioner of Income-tax v. Alps Theatre to support this ruling. The court answered the question against the assessee and made no order as to costs.