M/s CLC Tanners Association Vs ITO Ward-2(2), Kolkata

Parties Involved

Facts Summary

This is an appeal filed by the assessee, M/s CLC Tanners Association, against the order dated 15.10.2024 passed by the ld.CIT(A), National Faceless Appeal Centre (NFAC), Delhi for the assessment year 2018-2019. The assessee, a trust, entered into a tripartite agreement with the Government of West Bengal and the BOT Agency of Calcutta Leather Companies for various works. During the impugned assessment year, the assessee claimed depreciation of Rs.40,48,460/- in its return of income. The AO disallowed the assessee’s claim of depreciation on the ground that depreciation cannot be granted in respect of assets whose acquisition has been claimed as application of income. The assessee argued that it had not claimed application of income in respect of the assets and is entitled to claim depreciation.…

Legal Issues

• 1. Whether the assessee is entitled to claim depreciation on the assets.

Judgment Outcome

Decided in favour of Assessee.

Precedents Relied Upon

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