https://www.taxtmi.com/caselaws?id=189753 Written down value for business assets under section 10(5)(b), and the balancing charge under the second proviso to section 10(2)(vii), must be computed only with reference to depreciation actually allowed in earlier assessments. Depreciation that was merely estimated or notionally considered while income was assessed year to year under section 13 is not equivalent to depreciation actually allowed under the Act. The balancing charge mechanism therefore applies only to depreciation reflected in assessment orders, not to hypothetical or computed allowances. On that basis, only the depreciation actually allowed in the relevant years could enter the computation, and the issue was answered in favour of the assessee. en-us Tue, 23 Feb 1965 00:00:00 +0530 Thu, 19 Jan 2017 15:46:25 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=189753 Written down value for business assets under section 10(5)(b), and the balancing charge under the second proviso to section 10(2)(vii), must be computed only with reference to depreciation actually allowed in earlier assessments. Depreciation that was merely estimated or notionally considered while income was assessed year to year under section 13 is not equivalent to depreciation actually allowed under the Act. The balancing charge mechanism therefore applies only to depreciation reflected in assessment orders, not to hypothetical or computed allowances. On that basis, only the depreciation actually allowed in the relevant years could enter the computation, and the issue was answered in favour of the assessee. Case-Laws Income Tax Tue, 23 Feb 1965 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=189753