2013 (1) TMI 861

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....MENT In this appeal by the revenue for assessment year 2008-09, following questions of law have been raised for consideration of this court. a) Whether on the facts and circumstances of the case the ITAT was right in holding that depreciation on UPS is allowable @ 60% ignoring the fact that UPS is an electrical appliance for temporary supply of electricity therefore is in nature of pla....

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....d services to its holding company i.e. Saraswat Bank. During the course of the year, the respondent assessee had purchased certain capital assets such as UPS, ATM Machines and Software Licence to inter alia provide technology services to its holding company. The respondent assessee claimed depreciation on UPS and ATM machines under the block of computers @ 60% while depreciation was claimed on sof....

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....ny kind of damage to the computer network due to fluctuation in power supply which could lead to loss of valuable data. The Tribunal relied upon the decision of the Delhi High Court dated 20/1/2011 in the matter of CIT v. Orient Ceramics and Industries Ltd. in which UPS was held to be the part of the computer system and depreciation at 60% was allowed. Similarly, so far as ATMs are concerned, the ....