https://www.taxtmi.com/caselaws?id=180163 The Tribunal held that the 'Special Capital Incentive Subsidy' received was a capital receipt and not subject to reduction under Explanation 10 to Section 43(1) of the Income-tax Act. The appeal was allowed, directing the Assessing Officer to allow depreciation on the full cost of assets without reducing the subsidy amount. The Tribunal's decision was based on the subsidy's purpose to promote industrial development in underdeveloped areas, distinguishing it from subsidies meant to cover asset costs. en-us Tue, 31 Mar 2015 00:00:00 +0530 Fri, 18 Mar 2016 10:03:10 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=180163 The Tribunal held that the 'Special Capital Incentive Subsidy' received was a capital receipt and not subject to reduction under Explanation 10 to Section 43(1) of the Income-tax Act. The appeal was allowed, directing the Assessing Officer to allow depreciation on the full cost of assets without reducing the subsidy amount. The Tribunal's decision was based on the subsidy's purpose to promote industrial development in underdeveloped areas, distinguishing it from subsidies meant to cover asset costs. Case-Laws Income Tax Tue, 31 Mar 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=180163