https://www.taxtmi.com/caselaws?id=253037 HC held that the Moradabad Bypass Toll Road constructed under a BOT arrangement is a "building" and not a "plant" for purposes of depreciation under Section 32 of the Income-tax Act. Relying on SC precedent, HC applied the functional test and found that the toll road itself is a capital asset constituting the very business of the assessee, not a tool or apparatus used in the business. Toll plazas and collection equipment were characterised merely as facilities for collecting usage charges, not altering the road's character. Consequently, the assessee was not entitled to the higher rate of depreciation applicable to plant and machinery. The appeal was decided against the assessee. en-us Wed, 05 Nov 2014 00:00:00 +0530 Thu, 27 Nov 2025 10:58:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=253037 HC held that the Moradabad Bypass Toll Road constructed under a BOT arrangement is a "building" and not a "plant" for purposes of depreciation under Section 32 of the Income-tax Act. Relying on SC precedent, HC applied the functional test and found that the toll road itself is a capital asset constituting the very business of the assessee, not a tool or apparatus used in the business. Toll plazas and collection equipment were characterised merely as facilities for collecting usage charges, not altering the road's character. Consequently, the assessee was not entitled to the higher rate of depreciation applicable to plant and machinery. The appeal was decided against the assessee. Case-Laws Income Tax Wed, 05 Nov 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=253037