2017 (5) TMI 1052

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....D E R The Revenue is aggrieved by an order of the Income Tax Appellate Tribunal (ITAT) which affirmed the CIT(A)'s order holding that the disallowance of Rs. 31,14,97,013/- which was claimed by the assessee as depreciation, was not justified. The assessee in its return had claimed 15% depreciation on the electrical installations used for manufacturing activity. The Assessing Officer (AO) fel....

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....The ITAT, after considering various authorities upheld the findings of the CIT(A) in the following terms: "7.1 After going through the findings of the Ld. CIT(A), as aforesaid, in our considered view, on the anvil of the decision in the case of CIT vs. Oswal Woollen Mills Ltd. (supra), the Punjab and Haryana High Court applied Berger Paints India Ltd. vs. CIT 266 ITR 99 by following the case of....

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....e to 'plant & machinery'. We further note that Ld. CIT(A) was justified in holding that as a natural corollary, additional depreciation amounting to Rs. 1,02,12,533/- is also required to be allowed as the Assessing Officer disallowed the same considering electrical installations as part of furniture and fixture, which does not need any interference. 7.2 In the background of the aforesai....

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....power generation. For this purpose, the assessee had installed certain electrical sub-stations, towers etc. and other supporting equipment. These were an integral and critical part of its manufacturing process and cannot be compared with electrical fittings which have been defined in Note 5 to Appendix 1(E) & (G) which talks of electrical fittings as including electrical wiring, switches, sockets,....