https://www.taxtmi.com/caselaws?id=117813 Deduction for obsolescence of machinery under section 10(2)(vii) of the Indian Income-tax Act, 1922 depends on the machinery having been used during the relevant accounting year; where the record shows no use in that year and no factual basis for passive use, the claim fails. A separate claim for loss on revaluation of stores and spares was treated as a stock-in-trade valuation issue: a bona fide change from cost to realisable value is permissible if consistently adopted and the revised basis reflects actual value. The note states that the first claim failed while the second was accepted. en-us Thu, 01 Aug 1963 00:00:00 +0530 Tue, 31 Jul 2012 23:49:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=117813 Deduction for obsolescence of machinery under section 10(2)(vii) of the Indian Income-tax Act, 1922 depends on the machinery having been used during the relevant accounting year; where the record shows no use in that year and no factual basis for passive use, the claim fails. A separate claim for loss on revaluation of stores and spares was treated as a stock-in-trade valuation issue: a bona fide change from cost to realisable value is permissible if consistently adopted and the revised basis reflects actual value. The note states that the first claim failed while the second was accepted. Case-Laws Income Tax Thu, 01 Aug 1963 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=117813