https://www.taxtmi.com/caselaws?id=35861 The High Court of GUJARAT ruled against the claim for depreciation on a building constructed during the erection of a new plant for manufacturing dyestuffs and pigments. The Court held that depreciation could not be claimed before machinery installation and functionality, emphasizing the necessity of production commencement for claiming depreciation. The Court rejected the argument that installation commencement equated to use, requiring a real and effective connection with the business's core activities. The Tribunal's decision in favor of the assessee was reversed, and the claim for depreciation on the building was denied. en-us Tue, 14 Apr 1981 00:00:00 +0530 Wed, 17 Mar 2010 12:24:06 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=35861 The High Court of GUJARAT ruled against the claim for depreciation on a building constructed during the erection of a new plant for manufacturing dyestuffs and pigments. The Court held that depreciation could not be claimed before machinery installation and functionality, emphasizing the necessity of production commencement for claiming depreciation. The Court rejected the argument that installation commencement equated to use, requiring a real and effective connection with the business's core activities. The Tribunal's decision in favor of the assessee was reversed, and the claim for depreciation on the building was denied. Case-Laws Income Tax Tue, 14 Apr 1981 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=35861