Case Law Details
Eversendai Construction Pvt. Ltd Vs DCIT (ITAT Chennai)
ITAT Chennai held that UPS and Printers being part of a computer systems and hence eligible for higher depreciation at the rate 60%.
Facts- The assessee’ claim of depreciation @60% on UPS, printers and other accessories was rejected by the AP. AO restricted the depreciation on UPS, printers and other accessories to 15% which is applicable to normal block of plant and machinery.
Conclusion- We find that this issue is covered in favour of the assessee by the decision of ITAT in the case of Sundaram Asset Management Co. Ltd. v. DCIT, LTU, reported in [2013] 37 taxmann.com 278 (Chennai-Trib.), where it has been clearly held that UPS and Printers are part of a computer systems and eligible for higher depreciation of 60%. A similar view has been taken by the Mumbai Tribunal in the case of Macawber Engineering System (India) Pvt. Ltd. v. ACIT reported in [2013] 33 Taxmann.com 587. Therefore, we are of the considered view that the assessee is entitled for 60% depreciation on UPS and Printers and thus, we direct the AO to allow 60% of depreciation on UPS and Printers as claimed by the assessee.
FULL TEXT OF THE ORDER OF ITAT CHENNAI
Please become a Premium member. If you are already a Premium member, login here to access the full content.
Author Bio
