2011 (11) TMI 4

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....tions. These applications being: MS Office Software, Anti Virus software, Lotus Notes Software and Message Exchange applications. The assessee in respect of these applications acquired a licence to use the said applications on payment of consideration. The said expenditure has been disallowed by the Assessing Officer in each of the assessment years by treating the expenditure as one incurred on capital account. Accordingly, depreciation at the rate of 25% was allowed to the assessee. The assessee carried the matter in appeal to the Commissioner of Income Tax (Appeals) [hereinafter referred to as CIT(A)]. The CIT(A) while sustaining the order of the Assessing Officer, allowed depreciation at the rate of 60%. This resulted in both the assesse....

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....estored the matter to the file of the A.O. with the direction to follow the decision of its Special Bench, constituted in the meanwhile, in regard to the first issue. As regards the second issue, the Tribunal allowed the entire expenditure incurred on improvement of leasehold premises save and except that which was incurred on air-conditioning unit(s) and furniture.   5. It is against these findings of the Tribunal that the revenue has filed the present appeals before us seeking to raise substantial questions of law.   6. The first issue, in our opinion, has been considered and decided against the revenue in a judgment delivered by us passed in ITA Nos. 1110/2006 and 1111/2006 titled CIT Vs. M/s Asahi India Safety Glass Ltd.....