https://www.taxtmi.com/caselaws?id=329083 A charitable trust computing income under section 11 may claim depreciation on capital assets even where the acquisition cost was treated as application of income. Depreciation is a later-year allowance for wear and tear and is necessary to preserve the trust corpus, so it does not amount to impermissible double deduction. The jurisdictional High Court's view that charitable income is to be computed on commercial principles was applied, and section 11(6) was noted as a prospective restriction from 1 April 2015. The trust was entitled to depreciation and the Revenue's objection was rejected. en-us Fri, 20 May 2016 00:00:00 +0530 Wed, 22 Jun 2016 09:07:28 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=329083 A charitable trust computing income under section 11 may claim depreciation on capital assets even where the acquisition cost was treated as application of income. Depreciation is a later-year allowance for wear and tear and is necessary to preserve the trust corpus, so it does not amount to impermissible double deduction. The jurisdictional High Court's view that charitable income is to be computed on commercial principles was applied, and section 11(6) was noted as a prospective restriction from 1 April 2015. The trust was entitled to depreciation and the Revenue's objection was rejected. Case-Laws Income Tax Fri, 20 May 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=329083