Depreciation allowable on home-theatre used for business purpose

DCIT Vs Tally Solutions Pvt. Ltd. (ITAT Bangalore) Claim of depreciation on the home-theatre used for the business purpose is allowable in law – In absence of nexus between the borrowed funds and outstanding amount of the sister-concern, addition is not sustainable. Facts- AO observed that the assessee has diverted funds of INR 9,72,38,877 towards sister-concern without charging interest. AO made addition of INR 1,40,99,637 as interest @14.5%. Further, AO observed that assessee had purchased home-theatre for an amount of INR 2,01,90,028 which was not for the business purpose and accordin...