Expenditure on account of civil and interior works where payment is made to one entity capital in nature

Expenditure on account of civil and interior works where payment is made to one entity capital in nature

IN THE INCOME TAX APPELLATE TRIBUNAL

The Relevant Text of the Order as follow : 19. Before us, the ld. counsel for the assessee vehemently stated that expenditure incurred by the assessee are towards furniture and fixtures and, therefore, rate of depreciation applied for block of furniture and fixtures should be allowed. 20. The ld. DR strongly supported the findings of the first appellate authority. 21. We have given thoughtful consideration to the orders of the authorities below. Undisputedly, expenditure on account of civil and interior works and payment has been made only to one M/s Decorator Pvt Ltd. Considering the nature of expenditure, it can be safely concluded that the entire expenditure has been made for improvement of civil supply altering building by civil work. In our considered opinion, such civil work definitely gives a benefit of enduring nature. Therefore, we do not find any error or infirmity in the findings of the ld. CIT(A). This grievance is accordingly dismissed.