Depreciation on commercial Vehicles @50%
(ii) loss on sale of repossessed assets
(iii) Depreciation on software development
(iv) Depreciation on computer software ... disallowance of depreciation made by the AO. The
admissibility of depreciation @60% for computers including
computer software has been clearly mentioned
Depreciation on commercial Vehicles @50%
(ii) loss on sale of repossessed assets
(iii) Depreciation on software development
(iv) Depreciation on computer software ... disallowance of depreciation made by the AO. The
admissibility of depreciation @60% for computers including
computer software has been clearly mentioned
computer including computer
software' indicating that the computer software which is eligible for
depreciation ... says that computer
included computer software. Note 7 of the Appendix, defines computer
software as any computer
compute its total income accordingly.
4:0 Re.: Disallowance of depreciation claimed @ 60% on computer software ... expenditure on computer software in
question related to SAP software and that the income-tax authorities erred
in allowing depreciation @ 25%. In support
Ground No.14 is with
regard to claim of depreciation on computer software and
ground Nos.15 and 16 are with respect ... software. We found the claim of depreciation on computer
software is covered by the decision of the Special Bench of
Tribunal
onwards, on "computer including computer
software" depreciation has to be allowed to the tune of 60%. With the inclusion ... treated the
expenditure on acquiring the computer software as expenditure of capital
nature and rightly allowed depreciation as per rules
Appendix - I which defines the computer software
as under:
"Computer software means any computer programme
recorded ... provides the depreciation
@ 60% on the computer software and the term 'computer
software' has also been defined
appendix applicable from AY 2006-07,
depreciation on computer and computer software is to be
23
ITA No. 1875/Hyd/2012 ... justified in allowing depreciation at 25%. We,
therefore, direct AO to allow depreciation on the computer
software at 60%. This ground is partly
Computer
peripherals and they form integral part of Computer System.
5. Restricted depreciation on Computer Software to 25 percent ... fall under definition of "Computer" including computer software than
enhanced depreciation cannot be granted.
Respectfully following the decision
computer including computer software". According to the note
appended to the table, computer software means any computer ... depreciation at 60%. Income Tax Act
has not categorized or distinguished software into 'system software' and
'application software' for claiming depreciation
