2004 (7) TMI 17

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....l was admitted, whereby the following substantial questions of law were formulated. "(1) Whether, on the facts and circumstances of the case, the Tribunal was right in law in holding that the assessee is entitled to higher rate of depreciation on leased out trucks? (2) Whether, on the facts and circumstances of the case, the Tribunal was right in law in holding that the rate of depreciation ....

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....venue has filed the present appeal as against the order of the Tribunal dated January 28, 2003. This court, while admitting the above appeal, has framed substantial questions of law, as stated supra. We have heard Mr. K. Subramaniam, learned counsel for the appellant and Mr. P.P.S. Janarthana Raja, learned counsel for the respondent. It is not controverted by learned counsel for the parties ....

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....owned by and used for the personal purposes of the owner. It is in recognition of that fact of the depreciation occurring at a faster rate for such vehicles that the law provides for the higher rate of depreciation. The fact that the assessee here chose to lease out the vehicle does not on that score disentitle the assessee to claim the benefit of the higher depreciation. The lease of the vehic....

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.... or not also undertaking to maintain the vehicle during the period of the lease or hire. The word 'hire' used in this entry is only meant to denote that the use of the vehicle is not by the owner himself for his own purposes, but it is given to another for use for a limited period of that other for a consideration. For the purpose of this entry there is no qualitative difference between lease o....