Dismissing the appeal of the revenue the Court held that since Government Order clearly mentioned that what was sanctioned to assessee was a loan and not in nature of grant, Tribunal was right in granting relief to assessee by treating receipt in question viz. grants-received from Government, as interest free loans and allowing depreciation claimed against assets acquired from said receipts. (AY. 2014-15, 2015-16)
CIT v. Tamilnadu Martime Board (2021) 277 Taxman 15 / 323 CTR 987(Mad.)(HC)
S. 43(1) : Actual cost-Financial assistance for rehabilitation of tsunami damaged roads and bridges, ports and harbours-Interest free loan-Not to be reduced from actual cost. [S.32, 43(1), Explanation 10.]