9911796707
TMI Blog2014 (11) TMI 635X X X X Extracts X X X X X X X X Extracts X X X X ..... rectification under Section 154 of the Act by merely stating that Vapour Absorption Heat Pump is a part of the Centralized Air Conditioner and liable for depreciation at 25%, without giving any reasons, runs counter to Para-III, 3(iii) D(b) of Appendix-I to the Income Tax Rules, 1962 – the order of the Tribunal is upheld and as such no substantial question of law arises – Decided against revenue. - T. C. (A). Nos. 726 and 807 of 2014 - - - Dated:- 11-11-2014 - R. Sudhakar And R. Karuppiah,JJ. For the Appellant : Mr. T. R. Senthil Kumar Standing Counsel For the Respondent : Dr. (Mrs.)Anita Sumanth JUDGMENT (Delivered by R. Sudhakar, J.) Dr. (Mrs.) Anita Sumanth, learned counsel takes notice on behalf of the responde ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... suant to the same, the Assessing Officer found that depreciation on Vapour Absorption Machine, an energy saving device, was allowed to the assessee at the rate of 100% instead of 25%. Therefore, the Assessing Officer recomputed the depreciation at 25% under Section 154 of the Act vide order dated 26.3.2007. 3.3. Aggrieved by the said order, the assessee preferred an appeal before the Commissioner of Income Tax (Appeals). The Commissioner of Income Tax (Appeals) placing reliance on Appendix-I to the Income Tax Rules, 1962, which states that energy saving devices includes vapour absorption refrigeration systems, held that Vapour Absorption machine system is eligible for 100% depreciation. However, the plea of the assessee that the Assessi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cannot be accepted as it is evident from the order of the Commissioner of Income Tax (Appeals) that Vapour Absorption System is included in Energy Saving Devices specified in Para-III, 3(iii) D(b) of Appendix-I to the Income Tax Rules, 1962 and is eligible for 100% depreciation. When there is a specific provision in the Income Tax Rules allowing depreciation at 100% to Vapour Absorption System and the same was granted by the Assessing Officer at the first instance, the subsequent proceedings for rectification under Section 154 of the Act by merely stating that Vapour Absorption Heat Pump is a part of the Centralized Air Conditioner and liable for depreciation at 25%, without giving any reasons, runs counter to Para-III, 3(iii) D(b) of Appe ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
