TaxTMI 
TaxTMI 
2023 (11) TMI 845
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....ld. ACIT Circle, Pathankot, (in brevity 'the AO') order passed u/s 143 (3) of the Act. 2. The appeal was filed with delay of 354 days. The assessee filed a condonation petition and explained that the reasonable cause for filing the appeal in delay due to wrong advice of the consultant. The ld. AR relied on the order of the Hon'ble Supreme Court in case of N. Balakrishnan vs. M. Krishnamurty (SC) 1998 (7) SCC 123 Dated 03.09.1998. The ld. AR further relied on the order of the same bench of the ITAT, Amritsar in case of Smt. Rajinder Kaur vs. ITO in ITA 171/Asr/2022 date of pronouncement 22.03.2023 for condonation of delay. In this order, the Hon'ble A.M. condoned the delay for 448 days. The ld. DR had not made any strong objection against....
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....he notice and asked assessee for claiming depreciation @ 30% which is amount to Rs. 3,51,34,432/- on written down value of the tipper. Whereas, the ld. PCIT supposed to allow the claim @ 15% and the depreciation would be Rs. 1,75,67,215/-. As per the ld. PCIT. The assessee claimed excess depreciation on the tripper. The assessment order was treated as erroneous and prejudicial to the interest of the revenue by invoking section 263. Aggrieved assessee filed an appeal before us. 5. The ld. AR of the assessee has filed written submissions which are kept in the record. The ld. AR first invited our attention in APB pages 23 to 36, the chart for claiming depreciation under Income Tax Act which are enclosed related to assessment year 2014-15 to....
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....so shown in the return. Keeping in view the above fact, it is clear that the assessment order dated 28-12-2019 passed u/s 143(3) of the Act passed by erstwhile Assistant Commissioner of Income Tax Act, Circle-6, Pathankot in our case for A.Y. 2017-18 is not erroneous and not prejudicial to the interest of revenue. So your good self is requested that assessment made u/s 143(3) of Income Tax Act may not be cancelled or revised u/s 263 of the Income Tax Act. This is for your information and necessary action please in this regard'. 05. Reply of the assessee has been perused and duly considered and found not tenable on the ground that assessee has simply stated that the receipt/income shown in the profit a....
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....nly business of the assessee is from transportation. The assessee is eligible for higher depreciation if the vehicles were running on hire which includes use in assessee's business of transportation of goods on hire. The inference is that the vehicle that runs on hire would depreciate faster. Such view has become final and is no longer res-integra after the decision of Hon'ble Gupta Global Exim Pvt. Ltd. (2008) 305 ITR 132 SC. The Hon'ble Supreme Court held as under: Under sub-item 2(ii) of Item III of Appendix I of the Income Tax Rules, 1962, higher rate of depreciation is admissible on motor trucks used in a business of running them on hire. Therefore, the user of the same in the business of transportation of the assessee is the t....