Ita/524/2009 Of The Federal Bank Ltd v. Assistant Commission Of Income Tax

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.N.RAMACHANDRAN NAIR & THE HONOURABLE MR. JUSTICE B.P.RAY FRIDAY, THE 26TH NOVEMBER 2010 / 5TH AGRAHAYANA 1932 ITA.No. 524 of 2009() --------------------- ITA.501(COCH)/2005 of INCOME TAX APPELLATE TRIBUNAL, COCHIN BENCH .................... APPELLANT/APPELLANT ------------------------------------- THE FEDERAL BANK LTD., ALUVA. BY SRI.JOSEPH KODIANTHARA, SENIOR ADVOCATE, ADV. SRI.TERRY V.JAMES. RESPONDENT/RESPONDENT/RESPONDENT ----------------------------------------------------------------- 1. THE ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE-1, ALUVA. 2. COMMISSIONER OF INCOME TAX, KOCHI. R1 & R2 BY ADV. SRI.JOSE JOSEPH, SC FOR INCOME TAX. THIS INCOME TAX APPEAL HAVING BEEN FINALLY HEARD ON 26/11/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: C .N. RAMACHANDRAN NAIR, &BHABANI PRASAD RAY, JJ. -------------------------------------------- I. T. A. No. 524 of 2009 -------------------------------------------- Dated this the 26th day of November, 2010 JUDGMENT Ramachandran Nair, J. Two questions are raised in the appeal filed by the appellantBank. After hearing counsel for the appellant, and standing counsel forthe respondent, and on going through the Tribunal's order, we do notfind any merit in the appeal because the first issue pertains toappellant's claim for higher depreciation of 60% on EPABX andmobile phones. The rate of depreciation of 60% is available tocomputers and we do not find any ground to treat the communicationequipments as computers. In our view, Tribunal rightly held that theseequipments are not computers entitling the assessee for depreciation at60%. So much so, this appeal on this issue is rejected. So far as thesecond issue of prior period expenditure is concerned, disallowance isconfirmed by the Tribunal for want of evidence. We do not find any ITA 524/2009 substantial question of law arising on this issue. Consequently appeal is dismissed. Sd/- (C.N.RAMACHANDRAN NAIR) Judge. Sd/- (BHABANI PRASAD RAY) Judge. True copy PS to Judge kk