Depreciation cannot be denied on block of assets in subsequent years

ACIT Vs M/s Krystal Colloids Pvt. Ltd. (ITAT Mumbai) Conclusion: Once an asset was part of the block of assets and depreciation was granted on that block, it could not be denied in its subsequent year on the ground that one of the assets was not used by assessee in some of years. Held: Assessee-company was claiming depreciation on intangible assets acquired on conversion from proprietary concern to corporate entity on 31.03.2005. AO held that assessee was not entitled to depreciation claim on intangible asset in view of provisions of Explanation-3 to section 43(1), which had been created as a ...