Baleshwar Kharagpur Expressway Limited vs. PCIT-6

Parties Involved

Facts Summary

The assessee, Baleshwar Kharagpur Expressway Limited, had filed its original return of income for the Assessment Year 2018-19, declaring a total loss and claiming a refund. The case was reopened under section 147 of the Income-tax Act, 1961, due to the claim of excess depreciation on intangible assets. The assessee claimed depreciation on the right to collect toll on a highway project developed under a Build, Operate, and Transfer (BOT) agreement with the National Highways Authority of India (NHAI). The Assessing Officer accepted the return income, but the Principal Commissioner of Income Tax (PCIT) issued a notice under section 263 of the Act, setting aside the reassessment order. The assessee appealed against this order before the ITAT.…

Legal Issues

• 1. Whether the order passed by the PCIT setting aside the reassessment order is erroneous and prejudicial to the interests of revenue?
• 2. Whether the assessee is entitled to claim depreciation on the right to collect toll as an intangible asset?

Judgment Outcome

Decided in favour of Assessee.

Precedents Relied Upon

Similar Judgements

• Hazaribagh Ranchi Expressway Ltd v/s ACIT, Circle-14(1)(1)

  Mumbai bench

• Addl. Commissioner of Income Tax vs. M/s Delhi Airport Metro Express Private Limited

  Delhi bench

• JCIT(OSD), Range-10, New Delhi Vs. Gwalior Bypass Project Ltd

  Delhi Bench benchAY 2016-17Dismissed

• Thiruvananthapuram Road Development Company Limited Vs. PCIT, Mumbai-6

  Mumbai benchAY 2020-21Dismissed

• Kitty Industries Private Limited vs. Pr. CIT

  Chandigarh bench

• M/s Beacon Higher Education Services Pvt. Ltd. vs ACIT

  Delhi bench