https://www.taxtmi.com/caselaws?id=252264 The High Court upheld the Tribunal's decision in favor of the assessee regarding the disallowance of depreciation on enhanced asset value and interest expenditure on unpaid purchase consideration. The Court found that the Assessing Officer wrongly invoked Explanation 3 of Section 43(1) for depreciation disallowance, as the valuation report was post-transaction and doubts unfounded. Additionally, the Court agreed with the lower authorities that interest paid after the slump sale was revenue in nature, not part of capital cost, citing Explanation 8 to Section 43. The Court dismissed the Tax Appeal, emphasizing the correct application of relevant provisions under the Income Tax Act. en-us Tue, 23 Sep 2014 00:00:00 +0530 Thu, 16 Oct 2014 07:46:26 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=252264 The High Court upheld the Tribunal's decision in favor of the assessee regarding the disallowance of depreciation on enhanced asset value and interest expenditure on unpaid purchase consideration. The Court found that the Assessing Officer wrongly invoked Explanation 3 of Section 43(1) for depreciation disallowance, as the valuation report was post-transaction and doubts unfounded. Additionally, the Court agreed with the lower authorities that interest paid after the slump sale was revenue in nature, not part of capital cost, citing Explanation 8 to Section 43. The Court dismissed the Tax Appeal, emphasizing the correct application of relevant provisions under the Income Tax Act. Case-Laws Income Tax Tue, 23 Sep 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=252264