https://www.taxtmi.com/highlights?id=86585 The ITAT ruled that car parking receipts should be treated as business income, following precedents established in Radhasoami Satsang and National Leasing Limited cases. Depreciation claimed under s.32 on the building used for car parking was allowed, as the Tribunal determined parking facilities were incidental to the assessee's main hotel business. However, depreciation on plant and machinery for garden and clubhouse maintenance was denied since the assessee failed to meet the mandatory conditions of s.56(2)(ii) & (iii) and s.57(ii) by not showing related income. Regarding disallowed expenditures (legal fees, repairs, maintenance), the ITAT directed these expenses be allowed under s.37(1), rejecting the AO's contention that such expenses should be borne by the lessee (Mars Enterprises). en-us Tue, 18 Mar 2025 08:35:20 +0530 Tue, 18 Mar 2025 08:35:21 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=86585 The ITAT ruled that car parking receipts should be treated as business income, following precedents established in Radhasoami Satsang and National Leasing Limited cases. Depreciation claimed under s.32 on the building used for car parking was allowed, as the Tribunal determined parking facilities were incidental to the assessee's main hotel business. However, depreciation on plant and machinery for garden and clubhouse maintenance was denied since the assessee failed to meet the mandatory conditions of s.56(2)(ii) & (iii) and s.57(ii) by not showing related income. Regarding disallowed expenditures (legal fees, repairs, maintenance), the ITAT directed these expenses be allowed under s.37(1), rejecting the AO's contention that such expenses should be borne by the lessee (Mars Enterprises). Highlights Income Tax Tue, 18 Mar 2025 08:35:20 +0530 https://www.taxtmi.com/highlights?id=86585