9911796707
TMI Blog1993 (1) TMI 17X X X X Extracts X X X X X X X X Extracts X X X X ..... On being moved by the Revenue by applications under section 256(1) of the Income-tax Act, 1961 (in short, "the Act"), the Income-tax Appellate Tribunal, Cuttack Bench, Cuttack (in short, "the Tribunal"), has referred the following question for opinion : "Whether, in the facts and circumstances of the case, the Incometax Appellate Tribunal was justified in law in allowing the claim of the assess ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the definition of the words "actual cost" of an asset as per Explanation 1 to section 43(1) and it was observed that the scientific research equipment is not to be taken at par with other assets entitled to depreciation. In appeal, the Commissioner of Income-tax (Appeals) directed the Assessing Officer to allow depreciation claimed by relying on an order of the Tribunal, Calcutta Bench, in the cas ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ss carried on by the assessee, such deductions as may be admissible under the provisions of sub-section (2) : Provided that the scientific research association, university, college or other institution referred to in clause (ii) or clause (iii) shall make an application in the prescribed form and manner to the prescribed authority for the purpose of grant of approval, or continuance thereof, und ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (including an assessment year or years commencing before the date on which such notification is issued) as may be specified in the notification. (2) For the purposes of clause (iv) of sub-section (1),-. . . . (iv) where a deduction is allowed for any previous year under this section in respect of expenditure represented wholly or partly by an asset, no deduction shall be allowed under clause ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... iation. Once 100 per cent. deduction is allowed under section 35(1)(iv) on the value of a capital asset, the actual cost for the next year is reduced to zero in terms of section 43(1) of the Act as a result of which there is no scope for allowance of depreciation in the subsequent year. In that view of the matter, the Tribunal was not justified in allowing the claim of the assessee for depreciatio ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
