Revenue contended that the depreciation is allowable at 15% and not 80% claimed by the assessee. Dismissing the appeal of the revenue the Court held that windmill was erected in the desert area of Rajasthan which required special foundation of reinforced cement concrete and that said reinforced cement concreate formed integral part of wind mill. Referred CIT v. Herdilla Chemicals Ltd ( 1995) 216 ITR 742 (Bom) ( HC) . Court followed ITA NO 1326 of 2010 dt 14 -06 2017. (ITA No . 1769 of 2016 dt 30 -01 2019)
PCIT v. Mahalaxmi Infra Projects Ltd ( Bom) (HC) www.itatonline.org.
S.32: Depreciation –Installation of windmill – 80% depreciation allowed on Civil Construction ,electrical and other non integral part of installations – Held to be allowable .