The Income Tax Appellate Tribunal (ITAT), Delhi Bench directed the Assessing Officer to adjudicate the issue of additional depreciation not claimed either in original return or in revised return.
The assessee, Lord Krishna Rice Mills is a partnership firm and derives income from manufacturing and trading of rice by husking of paddy and sales. It filed its return of income on 25th September, 2013 declaring an income of Rs.3,41,830. The AO completed the assessment determining the total income of the assessee wherein he made certain additions.
During the course of assessment proceedings, the assessee has claimed additional depreciation on purchase of machinery of Rs.1,17,14,501. The claim of the assessee for additional depreciation was rejected by the AO keeping in view of the decision of the Hon’ble Supreme Court in the case of M/s Goetze (India) Ltd. vs. CIT, since the said additional depreciation was not claimed by the assessee either in the original return or through the revised return.
The issue to be decided in the instant case is as to whether the assessee can claim additional depreciation which was not claimed in the original return or not through revised return, but was claimed during the course of assessment proceedings.
The Coram of Suchitra Kamble and R.K.Panda directed the AO to adjudicate the issue of additional depreciation which was not claimed by the assessee either in the original return or during the revised return on the basis of the fact and law after giving due opportunity of being heard to the assessee.
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