https://www.taxtmi.com/caselaws?id=762080 The ITAT Mumbai held that the legal fiction under section 50C for computing capital gains cannot be extended to depreciation calculations under section 32. The assessee was correct in using actual sale consideration rather than stamp duty valuation for computing written down value of building block assets. The legislature created specific legal fictions under sections 50C and 43CA for different purposes but no such provision exists for depreciation computation. The disallowance of excess depreciation was deleted. Additionally, regarding expense disallowance, the matter was restored to AO for fresh consideration with direction to assessee to produce supporting documents. en-us Thu, 21 Nov 2024 00:00:00 +0530 Sat, 23 Nov 2024 08:01:33 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=762080 The ITAT Mumbai held that the legal fiction under section 50C for computing capital gains cannot be extended to depreciation calculations under section 32. The assessee was correct in using actual sale consideration rather than stamp duty valuation for computing written down value of building block assets. The legislature created specific legal fictions under sections 50C and 43CA for different purposes but no such provision exists for depreciation computation. The disallowance of excess depreciation was deleted. Additionally, regarding expense disallowance, the matter was restored to AO for fresh consideration with direction to assessee to produce supporting documents. Case-Laws Income Tax Thu, 21 Nov 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=762080