Court allows depreciation for building acquired on partnership dissolution

The High Court of Delhi ruled in favor of the assessee-company, allowing depreciation under section 32(1) of the Income-tax Act for a building acquired on dissolution of a partnership, citing a precedent from a previous case.

---

---

The High Court of Delhi addressed a question referred by the Income-tax Appellate Tribunal regarding the entitlement of an assessee-company to depreciation under section 32(1) of the Income-tax Act, 1961 for a building acquired on dissolution of a partnership. The court ruled in favor of the assessee based on a precedent set by the apex court in Mysore Minerals Ltd. v. CIT [1999] 239 ITR 775. The dispute pertained to the assessment year 1975-76.

---