Indian Kanoon - Search engine for Indian Law

44. It is submitted that during the relevant year, the assessee had made additions to the block of assets 'Computer including computer software' of Rs.12,19,28,624/-. In the said block, it had added certain computer peripherals, and claimed depreciation on the entire block of assets including the peripherals at the rate of 60%. The peripherals were in the nature of battery, head set and external hard disk, all of which were incapable of functioning without the aid of computer IT(TP)A No.3403/Bang/2018 systems and were always connected to, and accessible through the computer system alone. The AO restricted the depreciation to 15% on the basis that the assets were not computer software eligible for depreciation at 60% and were instead electronic items. The DRP upheld the AO's order that the assets are not integral part of the computer and were eligible for depreciation at 15%.