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284.

The learned Departmental Representative, however, tried to distinguish the 'Circuit Test Boards' from 'the accessories and peripherals of computers' and submitted that they have independent functions as well and therefore they cannot be classified as 'computers' or 'accessories and peripherals of computers' and are only Plant & Machinery and are eligible for depreciation @ 25% only.

29. Having regard to the rival contentions and the material on record, we find that the depreciation schedule to the Income-tax Act classified 'computers' to include computer software. The Hon'ble Delhi High Court in the case of BSES Rajadhani Powers Ltd. has held that computer accessories and peripherals form integral part of computers. For coming to this conclusion the Hon'ble Delhi High Court considered the decision of ITAT in the case of Expeditors Intl. (India) P. Ltd. Vs. CIT reported in (2008) 118 TTJ 652. The Special Bench of the Tribunal in the case of Datacraft India (supra) has held that 'when a devise is used as part of the computer in its functions, then it would be termed as computer'. It was further held that 'the predominant function of IT(TP)A Nos.23 & 61/Bang/20115 M/s.Rambus Chit Technologies (India) Pvt. Ltd.