Whether a gas cylinder attached to truck shall be considered as a part of truck or considered as gas cylinder only

The Hon’ble High Court placed reliance on the decision pronounced in the case of CIT vs. Goyal MG Gases Ltd., (2008) 296 ITR 72 (Delhi) wherein it was held that a tanker or a gas cylinder attached to the body of a truck continues to be a gas cylinder and is accordingly entitled to depreciation as applicable to gas cylinder in Appendix I to the Income-tax Rules. In other words, the gas cylinders even in such cases are entitled to 100% depreciation.

HIGH COURT OF DELHI AT NEW DELHI

Date of decision: 4^th July, 2013

 Income Tax Appeal 6/2000

COMMISSIONER OF INCOME TAX, DELHI

versus

H.B. LEASING & FINANCE LTD.

CORAM:

HONORABLE MR. JUSTICE SANJIV KHANNA

HONORABLE MR. JUSTICE SANJEEV SACHDEVA

ORDER

SANJIV KHANNA, J. (Oral)

The present appeal by the Revenue under Section 260A of the Income Tax Act, 1961 (Act, for short) relates to the assessment year 1986-87.

2. The following substantial questions of law were framed while admitting the present appeal vide order dated 6^th September, 2000:-

“A) Whether a tanker mounted on the chasis of the truck can be separated for the purposes of depreciation, qua the truck and can it be equated with LPG cylinders for having a claim of depreciation @ 100% on such tanker?