What tax deductions can businesses claim for capital expenditures?

Businesses in India can claim tax deductions for capital expenditures under various sections of the Income Tax Act. Key deductions include: Section 32 (depreciation on tangible assets), Section 35D (amortization of certain preliminary expenses), Section 35DD (amortization of expenditure in case of amalgamation/demerger), and Section 35DDA (amortization of expenditure on Voluntary Retirement Scheme). Supporting Case Law: CIT v. Coromandel Engineering Co. Ltd. (Supreme Court – 2018) – Clarified the eligibility criteria for depreciation under Section 32. Current Status: These deductions remain applicable for FY 2025-26 based on current provisions.