Law:

Section:

JUDGMENT R. Sudhakar, J. - Aggrieved by the order of the Tribunal in dismissing the appeal filed by it, the assessee/appellant is before this Court by filing the present appeal. This Court, vide order dated 9.2.08, while admitting the appeal, framed the following substantial questions of law for consideration:- "(i) Whether on the facts and in the circumstances of the case, the Tribunal was justified in treating the expenditure on replacement of plant and machinery as capital in nature? (ii) Whether on the facts and in the circumstances of the case, the Tribunal is correct in not allowing depreciation at 100% on the specified items?" 2. The facts, in a nutshell, are as hereunder:- The appellant is in the business of manufacture of automobile components. In respect of replacement of plant and machinery, which is a part of the continuous manufacturing system, the appellant claimed a sum of Rs.71,07,022/= as revenue expenditure and further claimed 100% depreciation on certain items on the ground that all the items are energy saving devices. The Assessing Officer, however, held against the assessee/appellant, against which the appellant moved the CIT (Appeals), who on consideration of the matter, allowed the appeal in part. Aggrieved against the said portion of the order, which went against it, the appellant/assessee preferred appeal to the Tribunal, which was dismissed, confirming the order of the CIT (Appeals), against which the present appeal has been filed. 3. Heard the learned counsel appearing for the appellant/assessee and the learned standing counsel appearing for the respondent/Department and perused the materials available on record as also the orders passed by the authorities below. 4. Insofar as the 2nd substantial question of law is concerned, we find that it is mostly in the nature of facts as to whether certain equipments are entitled to 100% depreciation. To be more clear on this aspect, the relevant portion of the order of the original authority dated 27.3.01, relating to equipments, is extracted hereinbelow for better clarity:- "3. At the time of hearing the assessee also claimed that equipments to the extent of Rs.20,63,694/= were entitled to…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492