Refex Industries Partly Wins Tax Appeal, Depreciation Disallowed

Refex Industries Limited has received a mixed order from the Commissioner of Income Tax (Appeals)-20, Chennai. The appeal pertains to a reassessment order for Assessment Year 2014-15. The CIT(A) has upheld the validity of reassessment proceedings and directed the Assessing Officer to re-quantify Long-Term Capital Gains (LTCG) addition related to land, building, and machinery. However, the disallowance of excess depreciation of ₹36,39,505/- claimed on transformers has been deleted entirely, which is favorable to the company. The company is evaluating the order and may file a further appeal. The order is considered favorable as a significant disallowance was deleted, and the LTCG addition is remanded for fresh quantification.