No disallowance of depreciation if assets were not put to use because of Strike by workers

ITO Vs Ventura Textiles Ltd. (ITAT Mumbai) Conclusion: Depreciation could not be disallowed due to assets were not in use as assessee had not close down the business but it was not going on because of illegal strike by the workers and therefore manufacturing had been stopped temporarily. Held: AO noticed during the course of assessment proceedings that assessee had claimed depreciation under section 32 in its computation of income. AO noted that since there was no activity carried out during the year on account of lock out by workers, the assets of the assessee company were not actually put t...