9911796707
TMI Blog2020 (1) TMI 464X X X X Extracts X X X X X X X X Extracts X X X X ..... nergy meters, which are energy saving devices, are entitled to high depreciation at the rate of 80% stand included by the Tribunal, and as well as, by this Court and therefore the AO cannot be permitted to re-open the said issue. We agree with the submission of the learned counsel for the respondent. However, we also find that the Tribunal stopped short of redirecting the AO to deal with the real issues, on which the remand was made vide order [ 2015 (11) TMI 927 - ITAT DELHI]. Thus, those issues remain undetermined till date. In our view, the Tribunal should have ensured that the outstanding issues, in terms of the remand order, attain finality one way or another. We, therefore, answer the question in favour of the Revenue and reman ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... account setting aside the order passed by the Assessing Officer dated 31.03.2017, should have directed the Assessing Officer to act strictly in terms of its earlier order of remand dated 05.10.2015? 7. The Revenue is in appeal to assail the order dated 25.03.2019 passed by Income Tax Appellate Tribunal (ITAT), Delhi Bench: A New Delhi in ITA No. 6225/Del/2018 pertaining to assessment year (AY) 2008-09 and ITA No. 6224/Del/2018, pertaining to AY 2007-08. The Tribunal has allowed the said appeals of the assessee along with several others, holding that the Assessing Officer (AO) had gone beyond the scope of remand as directed by the ITAT in order dated 05.10.2015. 8. On 05.10.2015, the Tribunal had held in favour of the as ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... not examine the said issue at all. 9. The submission of Ms. Malhotra is that although the issue that electronic meters/energy meters as energy saving devices are entitled to 80% depreciations stands concluded by the Tribunal, in its order dated 05.10.2015 and this Court has also dismissed Revenue s appeal, vide order dated 14.09.2019 in ITA 666/2016, the Tribunal should have ensured that the matter attains finality by remanding the matter back to the AO with a direction to act strictly in terms of the order of remand dated 05.10.2015. The issue as to what percentage of the meters are energy saving devices, being meters for measures of heat losses, furnace oil flow, steam flow, electric energy and power factor meters was not gone in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ring the above submission, we find that the Learned CIT(Appeals) has agreed with the submissions of the assessee to this extent that the meters are technologically advanced and are having features which can help consumers save energy but with human intervention. The contention of the assessee on the other hand remained that the energy meters acquired by the assessee are in the nature of energy saving equipment/devices having inter alia the following advanced features helping in conservation of energy: i) Advanced feature of automatic electric load monitor time of day (TOD) displays, which indicates consumption at the particular point of time during the day that is relevant/ helpful in collecting data and devising reliable technic ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for measuring heat losses, furnace oil flow, stream flow, electric energy and power factor meters (f) Maximum demand indicator and clamp on power meters xxxxxxxxxx 12.2 The perusal of aforesaid provisions make it clear that item III (8)(ix)(B)(e) of the depreciation schedule provides for higher rate of depreciation in respect of meters' for measuring ......... electric energy . 12.3 The submission of the assessee that there is no further/additional condition requiring the assessee to actually establish any direct relationship of the meters with the energy saved nor the said schedule also mandate that the energy meters should be electrical or mechanical devices and merely provides that the meters s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cessfully able to demonstrate that it was very much entitled to claim depreciation on energy meters @ 80% and without appreciating the above schedule, the authorities below were not justified in disallowing the claimed depreciation on these assets on the ground that the energy meters did not facilitate in conservation of energy. The Assessing Officer had, however, pointed out that more than 60% of the meters are mechanically advanced meters which did not have any special feature. To meet out this objection and its submissions before the Learned CIT (Appeals) that most of the meters are energy saving meters, the Learned AR has referred page No.75 of the supplementary paper book i.e. copy of the relevant extracts of the tax audit report of th ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
