Assessee can claim depreciation on WDV of Assets not on revalued value

PCIT Vs Dharmanandan Diamonds Pvt. ltd. (Bombay High Court) Introduction: The Bombay High Court recently ruled in the case of PCIT Vs Dharmanandan Diamonds Pvt. Ltd., where the eligibility of the assessee to claim depreciation on revalued assets was challenged. The judgment provides important insight into the interpretation of Sections 32(1) and 43(1) of the Income Tax Act, 1961, and its implications for businesses. Analysis: The court assessed whether the Income Tax Appellate Tribunal (ITAT) was in error by allowing the assessee to claim depreciation on revalued assets. The assessee, Dharmana...