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DIRECT TAX LAWS Supreme Court of India G.K. Choksi & Company v. Commissioner of Income-tax Depreciation - Initial depreciation on building under section 32(1)(iv) at rate of 40 per cent would not be available to professionals; it would be available to person carrying on a business (SC) From ITAT IN THE ITAT CHENNAI BENCH ‘B’ Poompuhar Shipping Corpn. Ltd. v. Income-tax Officer, International Taxation II, Chennai Deduction of tax at source - As per mandate of section 195, it is obligatory on part of person responsible for making payment to non-resident to deduct tax at source in respect of any sum chargeable under provisions of Act and question as to whether said sum is chargeable to tax or not is to be determined by Assessing Officer; assessee cannot decide it suo motu (Chennai) In the ITAT Allahabad Bench Assistant Commissioner of Income-tax, Cir. Sultanpur v. District Co-operative Bank Ltd. Section 80P Deductions - Income earned by assessee, a co-operative bank, by way of interest from other co-operative banks or on investment in other banks, bonds from Government securities on reserve funds investments and income from hiring of safe deposit vaults would be entitled to deduction under section 80P(2)(a)(i) (All.) In the ITAT Pune Bench ‘B’ Om Engineers & Builders v.Income-tax Officer, Ward 3(1), Pune Section 80-IB Deductions - Clause (b) of section 80-IB(10) clearly requires that for claiming deduction under section 80-IB, size of plot of land on which housing project is built should have a minimum area of one acre and this condition cannot be treated as fulfilled by applying an arithmetical exercise on a notional basis (Pune) IN THE ITAT PUNE BENCH ‘B’ Satvinder Singh v.Deputy Commissioner of Wealth-tax, Circle 2, Pune Wealth-tax - In order to claim benefit of section 2(ea)(i)(3), assessee has to prove that house was being occupied by him for purpose of any business or profession carried on by him only and nothing else (Pune) - On other hand, in order to cover a case under section 2(ea)(i)(5), nature and purpose of use of property alone is material, irrespective of fact whether it is used or occupied either by assessee himself or anybody else for purpose of any business or profession carried on by them; thus, to claim benefit of said item (5), very nature of property must be commercial and at same time, it must be used in a business or trade and nothing else (Pune) - Since words 'any property' include all or some of them or one of them, benefit of exemption under section 2(ea)(i)(5) cannot be denied only on ground that assessee had more than one commercial establishments or complexes at different places and if an assessee owns more than one property in nature of commercial establishments or complexes, said exemption would be available to all such properties and cannot be restricted to any one of them (Pune) Rupesh Srivastava e.mail: rupesh@thetaxcorp.com PH: 9225908041 (Goa) 9243408041 ( Karnataka )