##PAGE1##

, ,

आयकर अपीलीय अिधकरण इंदौर (cid:586)ायपीठ इंदौर

IN THE INCOME TAX APPELLATE TRIBUNAL

INDORE BENCH, INDORE

BEFORE SHRI B.M. BIYANI, ACCOUNTANT MEMBER

AND

SHRI PARESH M. JOSHI, JUDICIAL MEMBER

ITA No.453/ Ind/ 2025

Assessment Year:2009-10

Raj Kumar Paliya DCIT/ ACIT

M/ s. DA Construction, Itarsi (camp at Bhopal)

/

बनाम

Baskheda Pipariya,

Vs.

Bhopal

(Assessee/ Appellant) (Revenue/ Respondent)

PAN: ALKPP5181E

Assessee by Shri S.S. Deshpande, AR

Revenue by Shri Anup Singh, CIT-DR

Date of Hearing 08.01.2026

Date of Pronouncement 03.02.2026

आदेश / O R D E R

Per B.M. Biyani, A.M.:

Feeling aggrieved by order of first appeal dated 31.03.2025 passed by

learned Commissioner of Income-Tax (Appeals)-Addl/ JCIT(A)-3, Mumbai

[“CIT(A)”] which in turn arises out of assessment-order dated 11.12.2018

passed by learned DCIT/ ACIT, Itarsi [“AO”] u/ s 143(3) r.w.s. 254 of Income-

tax Act, 1961 [“the Act”] for Assessment-Year [“AY”] 2009-10, the assessee

has filed this appeal on following effective grounds:

“1. That on the facts and in the circumstances of the case of the assessee,

the learned CIT(A) was not justified in confirming the disallowance of

depreciation made by theAO.

Page 1 of 11

Raj Kumar Palia

ITA No. 453/Ind/2025 – AY 2009-10

2. That on the facts and in the circumstances of the case of the assessee, the

learned CIT(A) was not justified in confirming disallowance partly made by

theAO towards non deduction of TDS.”

1^st Round of proceeding:

2.1 The assessee-individual filed his return of AY 2009-10 u/ s 139

declaring a total income of Rs. 23,84,840/ -. The case was selected for

scrutiny and the AO issued notices u/ s 143(2)/ 142(1). Finally, the AO

completed assessment vide order dated 16.12.2011 u/ s 143(3) after making

an addition of Rs. 2,00,000/ - and assessing total income at Rs. 25,84,840/ -.

Subsequently, the AO issued notice u/ s 148 to assessee in order to re-open

assessee’s case u/ s 147 on two issues, viz. (i) the assessee purchased Tata

Dumpers and Tata Trucks costing Rs. 1,14,78,184/ - and claimed full

depreciation @15% whereas those assets were put to use for less than 180

days during the year and hence entitled to half depreciation @7.50%; this

way the assessee had claimed excess depreciation of Rs. 8,60,865/ -, and (ii)

Form No. 3CD (audit report filed by assessee) revealed that there was a

failure on the part of assessee to deduct tax at source (TDS) out of payment

of hire charges of vehicles amounting to Rs. 9,47,558/ - which attracted

disallowance u/ s 40(a)(ia) but the disallowance was not made. However,

finding no response from assessee, the AO passed ex-parte order of re-

assessment dated 30.10.2014 u/ s 147 r.w.s. 144 wherein he made a

disallowance of Rs. 8,60,865/ - (+) Rs. 9,47,558/ -, aggregating to Rs.

18,08,423/ - and thereby re-assessed total income at Rs. 43,93,263/ -.

Page 2 of 11

Raj Kumar Palia

ITA No. 453/Ind/2025 – AY 2009-10

2.2 Aggrieved by order of re-assessment so made, the assessee carried

matter in first-appeal but did not get any success.

2.3 The assessee went in next appeal in ITA No. 617/Ind/2016 to ITAT,

Indore whereupon the ITAT, vide order dated 21.09.2016, remanded both

issues to AO for de novo consideration after allowing opportunities of being

heard to assessee. The 1^st round ended here. We re-produce below the

relevant paras of order of ITAT for an immediate reference:

Paras relevant to the issue of Depreciation:

“9. TheLd. Counsel of the assessee submitted as under:-

“The new asset being trucks and dumpers falls under the category of ‘New

Commercial vehicle’. The rates of depreciation is effective from assessment

year 2006-07 and the year under consideration is assessment year 2009-10.

Thelist of assets with thedate of purchase is as per table below :-

Page 3 of 11

Raj Kumar Palia

ITA No. 453/Ind/2025 – AY 2009-10

Thus, the net excess depreciation claimed is only Rs. 66,781.82 (5,20,542.92

less 4,53,761.10). The vehicles were purchased from 30.10.08 to 30.03.2009

along with the invoice, registration certificate etc. (P.B.