ATM is a computer equipment depreciation allowable at 60%

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INCOME TAX APPELLATE TRIBUNAL, MUMBAI

ITA No.3606 /Mum/2011 -Assessment Year: 2008-09

Saraswat Infotech Ltd. Vs. ACIT

Date of pronouncement: 14.3.2012

AR invited our attention to the observations of the revenue authorities, wherein, they had observed that the ATMs were just cash dispenser and projector and not a computer aided peripheral. The A.R. has placed certain photographs alongwith short descriptions as to how the ATM functions. From the short descriptions, it can be seen that ATM functions entirely through the functions of a computer. The AR thus invited our attention to the written submission, wherein, the AR pleaded before the revenue authorities that ATM cannot function without the help of a computer and is certainly an important computer peripheral for banking industry. The AR thus took us through the decision of Delhi ITAT in the case of DCIT vs. Global Trust Bank (ITA No.474/D/09), wherein, the coordinate Bench has held the ATM was a computer equipment and thus allowed depreciation at 60%.