9911796707
TMI Blog2014 (11) TMI 1295X X X X Extracts X X X X X X X X Extracts X X X X ..... amounting to Rs. 43,81,612/- claimed at higher rate, i.e. 30%, when the assessee is eligible for a normal rate of depreciation, i.e. @15% only. (2) The learned CIT (Appeals) has erred in law and on facts in holding that CBDT's Circulars No. 609 and 652 are applicable in the case of the assessee." 2. Assessee is a partnership firm doing business of transportation of vehicles hiring to ONGC and other Corporates and also doing work of Municipal Corporations. Assessee is doing the work of garbage collection and its disposal. Assessee has shown income from the work of garbage collection and its disposal done as per tender documents on the basis of kilometer cum tonnage in some contracts and on tonnage of garbage collected and shift ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion comes to Rs. 52,09,669/- as against Rs. 95,91,281/- claimed by the assessee in the return of income. Hence, the excess claim of depreciation amounting to Rs. 43,81,612/- is disallowed and added to the total income. " Accordingly, addition of Rs. 43,81,612/- was made. 3. Matter was carried before First Appellate Authority, wherein various contentions were raised on behalf of assessee and having considered the same CIT (A) has granted relief to the assessee as prayed. Same has been opposed before us on behalf of Revenue inter alia submitting that CIT (A) was not justified in deleting addition made on account of disallowance of depreciation amounting to Rs. 43,81,612/- claimed at higher rate, i.e. 30%, when asses ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ransportation and dumping at the desired distant points by using required number of vehicles of required type. It is evident that garbage does not belong to assessee but to clients and the receipts of the assessee include very substantially the charges for transporting the garbage from various locations to common points and thereafter to the dumping points. This is the basic business of assessee and vehicles are basically used for transportation of garbage of the clients only. The trucks with special type of bodies were used mainly for transporting the garbage throughout the period. Most of the trucks were so specially designed that these could not have been used for any other purpose. The ownership of particular number and type of trucks w ..... X X X X Extracts X X X X X X X X Extracts X X X X
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