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TMI Blog2023 (11) TMI 845X X X X Extracts X X X X X X X X Extracts X X X X ..... oceeding. The assessee also in revisional proceeding explained before the PCIT about the variation of rate of depreciation in two blocks. The rate of depreciation was duly supported by the Income Tax Rule 1962 and also it is duly covered in the case of Bharat Carriers Ltd. [ 2022 (5) TMI 1599 - ITAT CUTTACK] So, there is no ambiguity for accepting the depreciation @ 30% for tipper which used in the assessee s business for hiring for transporting the goods. We find that the assessment order is not at all erroneous and prejudicial to the interest of revenue. Assessee appeal allowed. - DR. M. L. MEENA, ACCOUNTANT MEMBER AND SH. ANIKESH BANERJEE, JUDICIAL MEMBER For the Appellant : Sh. Ashwani Kalia, CA. For the Respondent : D ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... efore making assessment. 3 That the ld.Pr.CIT-1, Amritsar has erred in holding that the assessment order passed by the AO u/s 143(3) is erroneous in so far as prejudicial to the interest of revenue and setting aside the order of the AO with direction to make denovo assessment. 4 That the order passed by Pr.CIT-1, Amritsar u/s 263 is bad in law and on facts 5 That the appellant craves leave to add or amend the ground of appeal before the appeal is heard and disposed off. 4. Brief facts as culled out from the records are that the assessee was running a business as stone crusher and tipper of the stones. The assessee claimed depreciation on the tipper (goods vehicle) which are used for delivery of stone to the party, ac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d the submission before the ld. PCIT which was duly ignored. 5.1 The ld. AR invited our attention in the order of the ld. PCIT in pages 2 to 3 paragraphs 3 to 5 which are duly reproduced as below: 03. On 21-03-2022 the reply of the assessee received through ITBA which is reproduced as under: That the assessment u/s 143(3) of the IT Act was completed by the AO at an assessed income of Rs. 1,87,01,950/- after making disallowance of 5% of expenses debited in the profit loss account amounting to Rs. 3,71,380/- and adhoc addition of Rs. 5 lac made on account of purchase and addition of Rs. 1 lac on account of repair to machinery (Direct Expenses). It is submitted that we also carry on business of transportation, income of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... order defective and erroneous. 5.2 The ld. AR also placed that the assessee claimed the correct rate of depreciation @ 30% related to tipper which are used for sale of stones to the buyer. The ld. AR invited our attention in APB page 47 in the order of ACIT, Central Circle-2 Bhubaneswar vs. Bharat Carriers Ltd. ITA No.217/CTK/2020 date of pronouncement 17.05.2022 the relevant paragraph is inserted as below: 5. We have heard the rival submissions and perused the record of the case. We find that the ld CIT(A) allowed the higher depreciation @ 30% to the assessee by observing as under: I have carefully examined the appellant's submission and facts on record. The assessment record for the given year was called for and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n will also be admissible on motor lorries used in the assessee's business of transportation of goods on hire. The higher rate of depreciation, however, will not apply if the motor buses, motor lorries, etc.. are used in some other now hiring business of the assessee. 6.6 In view of the above, the assessee had correctly claimed higher depreciation for utilising the vehicles in his own business of transportation. Therefore, the ground of appeal is allowed. 6. Ld DR could not controvert the findings of fact that as per circular No.652 dated 14.6.1993, the motor lorries used in assessee s business of transportation of goods on hire is eligible for higher depreciation @ 30%. In view of above, we see no reason to interfere wi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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