2012 (10) TMI 224

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.... Per G. C. Gupta, Vice-President: This is Revenue's appeal and the assessee's CO directed against the order of the Commissioner of Income Tax (Appeals)-XI, Ahmedabad dated 31.10.2011 for the assessment year 2007-2008. ITA No.3317/Ahd/2011 (Revenue's appeal) 2. The only ground raised in this appeal of the Revenue reads as under: "1. The ld.CIT(A) has erred in law and on facts i....

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....an amount invested in the purchase of land also. This part needs verification by the AO. The learned counsel for the assessee has opposed the submissions of the learned DR. He submitted that as per the provisions of the Act, depreciation at the rate of 80% is allowable on the entire device which is capable of generating electricity using the wind energy. He submitted that the civil and electrical ....

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....e rate of 80% is allowable. The CIT(A) has referred to the decisions of the High Courts while deciding the issue in favour of the assessee. Accordingly, the ground taken in the appeal of the Revenue with regard to the depreciation and additional depreciation on the foundation, civil & electrical works, installation, payment to GEDA is dismissed. However, with regard to depreciation on the capit....

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....ng funds have been used for earning exempt income. In view of elaborate submissions filed and the legal position laid down by various courts of law including the Hon'ble Apex Court in the case of CIT Vs. Walfort Share & Stock Brokers P. Ltd. 326 ITR 1 (SC), the provisions of section 14A are not attracted in case of the appellant in absence of any proximate cause for disallowance. Accordingly, the ....