2015 (9) TMI 1425

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....reinafter referred to as 'the Act') dated 10.02.2011 pertaining to assessment year 2007-08 The respective Grounds of appeal raised by the assessee and the Revenue read as under:- Grounds of appeal raised by the Assessee ""1. Disallowance of claim of Depreciation on data cables of Rs. 5.87.205/-. On the facts and circumstances of the case, the learned Commissioner of Income-tax (Appeals) ('CIT(A)'} erred in upholding the action of the Assessing Officer making an adjustment of Rs. 5.87,205/- to the total income of the assessee on account of 'excessive claim of depreciation on data cables by applying rate of depreciation of 15% applicable to the block of 'plant and Machinery' as against the rate of 60% (i.e. rate applica....

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....sessment year under consideration, assessee filed a return of income declaring a total income of Rs. 25,53,92,971/- which was revised to Rs. 24,20,16,971/-. The return of income filed by the assessee was subject to a scrutiny assessment u/s 143(3) of the Act, whereby, the total income has been assessed at Rs. 39,50,69,030/- after making certain additions/disallowances. The CIT(A) has allowed certain partial relief and accordingly the assessee as well as the Revenue are in appeal before us on the stated Grounds of appeal. 3. Ground of appeal no. 1 raised by the assessee and Ground of appeal nos. 1 & 2 raised by the Revenue relate to the claim of depreciation on certain computer peripherals. Since the cross Grounds relate to the same issue,....

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.... Officer that the same is entitled for depreciation at the rate of 15%. On this aspect, assessee is in appeal before us.   7. The ld. Counsel for the assessee submitted that the CIT(A) and the Assessing Officer have erroneously disallowed the higher rate of depreciation on the cost of data cables holding it not to be a part of 'Computer'. He submitted that the Hon'ble Delhi High Court in the case of CIT vs. Birla Soft Ltd. in ITA No. 1284 of 2011 dated. 15.12.2011 has decided a similar issue holding that the computer peripherals, like CD writers, printers, net work cables, switches, racks, isolators, dividers, etc. are entitled to depreciation @ 60% and, therefore, the assessee should be entitled to higher rate of depreciation on the ....

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....ds of appeal raised by the Revenue are dismissed. 11. The only other Ground remaining in the appeal of assessee is with regard to the depreciation on Jodhpur property. On this aspect, it was a common point between the parties that similar issue has been decided against the assessee for assessment year 2006-07 by the Tribunal vide ITA No. 9156/Mum/2010, dated 31.12.2013. The relevant discussion in the order of the Tribunal dated 31.12.2013 reads as under:- "21. Ground no.6 relates to the disallowance of depreciation of Rs. 2,20,817/- relating to leasehold premises. Lower authorities disallowed the same for the reasons that the said premise was acquired by the assesse perpetual lease basis. However, he fairly submitted that the asset was no....