Depreciation Can’t Be Denied on Suspicion After MAP Resolution

Scania Commercial Vehicles India Private Limited Vs DCIT (ITAT Bangalore) Bangalore ITAT granted substantial relief to the Assessee on multiple corporate tax issues after noting that transfer-pricing adjustments had already been resolved under MAP. For AY 2017-18, the Tribunal deleted the disallowance of depreciation on fixed assets holding that ownership, user & actual cost were undisputed and mere suspicion about source of funds could not justify denial of depreciation. The addition on account of warranty provision was held to be wrongly computed; the matter was restored to the AO to all...