Dismissing the appeal of the revenue the Court held that ; as the Factory could not run due to stay order of Court, depreciation cannot be disallowed. Business is not closed permanently .( AY.2009- 10)
PCIT v. Babul Products (P.) Ltd. (2018) 257 Taxman 100 (Guj.)(HC) Editorial :Order in Babul Products (P.) Ltd v. ACIT ( 2017) 167 ITD 402 ( Ahd) (Trib) is affirmed .
S.32: Depreciation- Stay order from Court- Factory could not run due to stay order of Court- Depreciation cannot be disallowed.