2021 (8) TMI 117

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....nd in the circumstances of the case and in law learned CIT (Appeals) failed to appreciate that the capital assets were transferred along with all advantages, benefits, claims, appurtenances, use and rights etc and hence the cost of assets transferred also includes the cost of acquiring such advantages, benefits, claims, appurtenances, use and rights such as water supply and electric supply for which deposits of Rs. 1,49,256/-were given to MIDC, MSEB etc. 2. Alternatively on facts and in the circumstances of the case and in law learned CIT (Appeals), having found that assessee had given deposits of Rs. 1,49,256/- to MIDC, MSEB etc for supply of water and electricity etc in or upon the capital asset transferred, ought to have allowed the d....

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....ith the leasehold land as well as with shed. 3. The shed formed part of depreciable fixed assets. While computing short-term capital gains from shed, the assessee deducted not only the WDV of shed but also deducted WDV of other assets and deposits as per MIDC (authority) for Rs. 13.21 Lacs. These include assets written-off for Rs. 4.78 Lacs and deposits written-off for Rs. 1.49 Lacs. The deduction of these two components was denied by Ld. AO. 4. During appellate proceedings, the assessee submitted that it had given various deposits to MIDC towards water, additional water etc. These deposits were part and parcel of allotted land which also got assigned in favor of assignee. The MIDC would not refund the deposits as long as the said premise....