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TMI Blog2020 (5) TMI 432X X X X Extracts X X X X X X X X Extracts X X X X ..... nsidered as owner for all practical purposes and hence it is entitled for depreciation - Decided in favour of assessee. - I.T.A. No. 5456/Mum/2018 And I.T.A. No. 661/Mum/2019 - - - Dated:- 17-1-2020 - Shri S. Rifaur Rahman, AM And Shri Ravish Sood, JM For the Appellant : Shri Shiv Prakash, AR For the Respondent : Shri V. Vinod Kumar, DR ORDER PER S. RIFAUR RAHMAN (ACCOUNTANT MEMBER): The present two Appeals have been filed by the assessee against the order of Ld. Commissioner of Income Tax (Appeals)-6, Mumbai in short Ld. CIT(A) dated 10.08.2018 and 10.12.18 for AY 2014-15 and 2015-16 respectively. 2. Since the issues raised in both the appeals are identical, therefore, for the sake of convenience, these a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sallowance by the learned CIT(A) is untenable and unjustified. 3. That the cost of the car having been fully paid for by the appellant and it forming a part of its assets and its use for business being evidenced by the expenses incurred by the appellant - the rejection of the claim of depredation and expenses by the Assessing officer was totally unjustified and the confirmation of the same by the learned CIT(A) is equally unjustified. 4. That the teamed CIT(A) was wrong in holding that the fact of usage of the car -as absent in the instant case - in spite of the availability of the expenses incurred on its usage by the appellant - being on record. 5. That the teamed CIT{A) has also erred in totally ignoring to take into consi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of CIT Vs. Aravali Finlease Lid. 9341 ITR 282 (Guj.) and CIT Vs. Basti Sugar Mills Co. Ltd. 257 ITR 88 of Hon'ble Delhi High Court, allowed the depreciation of the car which was registered in the name of the Director in the said case. It is further mentioned that AO has not brought any fact on record that the car was used for other than business purposes. The facts in! the present case are similar to the case decided by the Hon'ble Tribunal in the aforesaid case and therefore, respectfully following the said decision of Hon'ble Jurisdictional ITAT, the action of the Assessing Officer in disallowing the expenses and depreciation on car simply for the reason that the questioned car was registered in the name of the Director, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ble Delhi High Court approved the decision of the Tribunal in holding that, since vehicle is a movable asset, the registration as required in the case of transfer of immovable property is not a condition precedent for legal ownership. In the instant case, the funds for purchase of vehicles have been provided by the assessee company and they have been shown as assets of the assessee company. Hence, in our view, the assessee company should be considered as owner for all practical purposes and hence it is entitled for depreciation. In view of the direct decision of Hon ble Gujarat High Court is available on this issue, we prefer to follow the same to that rendered by the Tribunal in the assessee s own case for AY 2007-08. Accordingly, we set ..... X X X X Extracts X X X X X X X X Extracts X X X X
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