The Tax Publishers2020 TaxPub(DT) 5362 (Karn-HC) : (2021) 431 ITR 0554 : (2021) 277 TAXMAN 0207

INCOME TAX ACT 1961

Section 32

Assessee bank was entitled to depreciation on valuation of investment portfolio following the decision held in case of 'KARANTAKA BANK LTD. [(2013) 34 taxmann.com 150 (KAR) : 2013 TaxPub(DT) 1881 (Karn-HC)] in, 'MAXOPP INVESTMENT LTD. [(2018) 19 taxmann.com 154 (SC) : 2018 TaxPub(DT) 1403 (SC)] and judgment [2020 TaxPub(DT) 0697 (Karn-HC)] respectively.

Depreciation - Allowability - Valuation of investment protfolio -

Assessee was a Nationalized Bank. It claimed depreciation on valuation of investment portfolio of which addition was made by AO. Held: The issue was answered in favour of assessee in case of 'KARANTAKA BANK LTD. [(2013) 34 taxmann.com 150 (KAR) : 2013 TaxPub(DT) 1881 (Karn-HC)] in, 'MAXOPP INVESTMENT LTD. [(2018) 19 taxmann.com 154 (SC) : 2018 TaxPub(DT) 1403 (SC)] and judgment [2020 TaxPub(DT) 0697 (Karn-HC)] respectively. Following the same assessee was entitled to depreciation on valuation of investment portfolio.

Followed:Karantaka Bank Ltd. [(2013) 34 taxmann.com 150 (Kar) : 2013 TaxPub(DT) 1881 (Karn-HC)], Maxopp Investment Ltd. [(2018) 19 taxmann.com 154 (SC) : 2018 TaxPub(DT) 1403 (SC)] and judgment [2020 TaxPub(DT) 0697 (Karn-HC)].

REFERRED :

FAVOUR : In favour of assessee.

A.Y. : 2011-12

INCOME TAX ACT, 1961

Section 194H

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