Case Law Details
ACIT Vs Kishangarh Hi Tech Textile Park Ltd. (ITAT Jaipur)
Since the assessee has disclosed entire facts in the Balance Sheet with regard to the subsidy of Rs. 36.00 crores received by it and the depreciation at 80% on the entire windmill as a whole has been claimed on the basis of various decisions of Hon’ble Rajasthan High Court and the subsidy of Rs. 36.00 crores received by the assessee from Ministry of Textile, Government of India was not reduced from the cost of the windmill, as according to the assessee, the Proviso to Explanation 10 of Section 43(1) was not applicable in the case of assessee placing reliance on M/s Lotus Integrated Taxpark Ltd. vs DCIT (supra). Although, in assessee’s case on merits the Coordinate bench has sustained the addition but as far as imposition of penalty, principles are altogether different. In penalty proceedings, we have to consider full and complete disclosure of all facts and figures and in case, the assessee had made disclosure of all facts and figures then in that eventuality no penalty is leviable U/s 271(1)(c) of the Act. Therefore, in view of various decisions discussed above, we are of the considered view that no penalty u/s 271(1)(c) can be levied upon the assessee in respect of the disallowance of depreciation of Rs. 15,07,77,715/- made by the AO. in view of the above facts and circumstances of the case, we do not find any reason to interfere in the order of the ld. CIT(A), accordingly, we uphold the same.
FULL TEXT OF THE ITAT JUDGEMENT
These are the appeals filed by the Revenue against the separate orders of the ld. CIT(A), Ajmer all dated 23/09/2019 for the A.Y. 2011-12 to 2013-14 respectively.
2. All these three appeals of the Revenue have common issues; therefore, all were heard together and for the sake of convenience, a common order is being passed.
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