1999 (10) TMI 102

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..... in this appeal is whether the central subsidy granted to the assessee, which is a company and which is running a hotel towards central investment subsidy of Rs. 7,63,000 are liable to the deducted from the WDV while claiming depreciation. 2. On behalf of the Department, it is contended that the matter though decided in favour of the assessee by following the case of CIT vs. P.J. Chemicals (1994) .....

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..... only to decide whether the subsidy is to be allowed as revenue receipt or capital receipt. But it was not considered whether it is deductible while working out WDV for the purpose of depreciation under s. 43(1) and, therefore, P.J. Chemical's case was not at all disturbed since there was no occasion to deal with the same. Thus the learned counsel for the assessee contended that the point at issue .....

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