Depreciation eligible on right to collect Adda fees against expense on construction of Bus Terminal 

JCIT (OSD) Vs Rohan And Rajdeep Infrastructure Pvt. Ltd. (ITAT Pune)

We note that the assessee also incurred expenditure in constructing Amritsar Bus Terminal on BOT basis and to recoup the said investment, the assessee was allowed to collect adda fees from the users of the said bus terminal. In our view, the said right is business or commercial right in terms of section 32(1)(ii) of the Act, is an intangible asset, therefore, the assessee is entitled to claim depreciation.

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