2011 (4) TMI 1380

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....he Revenue made an application u/s 254(2) of the Act with a request to recall the aforesaid Tribunal's order dated 17.6.2009 and to proceed with the appeal on the issue of excess depreciation allowed by the learned CIT(A) on LAN, WAN, ATM etc. at 60% as against 25% allowed by the AO inasmuch as the COD vide minutes of the meeting of the Committee held on 25.2.2010 has permitted the Revenue to pursue the present appeal on the aforesaid issue of depreciation on LAN, WAN, ATM etc. The miscellaneous application filed by the Revenue was registered as M.A.No.384/Del/2010 which was disposed of vide order dated 7.1.2011 by recalling the Tribunal's order dated 17.6.2009 to the extent of the approval granted by the COD. The Tribunal's order dated 7.1....

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....arlier order dated 17.6.2009. 6. In the course of hearing of this appeal, the learned counsel for the assessee relied upon several decisions including the decision of Hon'ble Delhi High Court in the case of CIT Vs. BSES Rajdhani Power Ltd. in ITA No.1266/2010. The Hon'ble Delhi High Court in the aforesaid case vide order dated 31.08.2010 has held that computer accessories and peripherals such as printers, scanners and server etc. formed an internal part of the computer system and, in fact, the computer accessories and peripherals cannot be used without the computer. The Hon'ble High Court thus held that they are the part of the computer system and are entitled to depreciation at the higher rate of 60%. In the present case, we are....

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.... and therefore, unless it is computerized and linked with the main server, it is not possible to operate the ATM. 8. The LAN equipment is called Local Area Network equipment which is part of the computer hardware which enables for a group of computers and associated computer devices to share the data through this device. In other words, the data is stored at single computer processor or server and all the other computers are connected through local area network equipment and the single processor can be accessed by the other computers and the data stored is used by the other computers. 9. The WAN equipment is called Wide Area Network, meaning, two or more LAN would form a WAN i.e. to cover large geographical area. The computer network ....