M/S. I.C.D.S. LTD. vs COMMISSIONER OF INCOME TAX

The Supreme Court addressed the issue of depreciation claims under Section 32 of the Income Tax Act, 1961, for a public limited company engaged in leasing vehicles. The Court upheld the Tribunal's decision that the assessee, despite not being the registered owner, was entitled to claim depreciation at normal rates as it was the actual owner of the vehicles used in its leasing business. However, the claim for higher depreciation rates was denied, affirming the view that mere financing does not equate to actual usage for hire purposes.