Depreciation on smart phones functioning equivalent to computers

Falcon Business Resources Pvt. Ltd. Vs DCIT (ITAT Delhi)

The lower authorities while deciding the issue whether the depreciation is allowable on mobile phones @ 15% or considering the mobile phones computers @ 60%. This issue has been decided by the solitary decision of Hon’ble Kerala High Court in the case of Federal Bank Ltd. Vs. ACIT (supra) wherein it has been held that mobile phones are not computers and, therefore, depreciation on these mobile phones shall be allowed at the general rate of depreciation on plant and machinery @ 15%. This being th

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