2011 (6) TMI 1000

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....mar For the Respondent : Shri Shaji P. Jacob ORDER PER ABRAHAM P. GEORGE, ACCOUNTANT MEMBER : In both these appeals, grievance of the assessee that allowance of depreciation was not considered in working out the utilization for the purpose of computing its income, though the assessee was registered under Section 12AA of Income-tax Act, 1961 (in short "the Act"). As per the assessee, de....

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....orrect to say that claim of depreciation would amount to double deduction. However, ld. CIT(Appeals) was not impressed. According to him, decisions of Hon'ble Apex Court in the case of Escorts Ltd. v. Union of India (199 ITR 43) and in the case of CIT v. Hico Products P Ltd. (247 ITR 797) were in favour of Revenue. Hence, he held that the A.O. was correct in disallowing the depreciation claim ....

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....nt of depreciation as has been suggested by learned counsel for the Revenue. The income of the assessee being exempt, the assessee is only claiming that depreciation should be reduced from the income for determining the percentage of funds which have to be applied for the purpose of the trust. There is no double deduction claimed by the assessee as canvassed by the Revenue. The judgement of the Ho....