Goodwill paid for commercial rights in the form of knowhow, technical information, etc. are eligible for depreciation

HINDUSTAN COCA COLA BEVERAGES PVT. LTD. (ITA Nos. 1391/2010, 1394/2010 & 1396/2010 dated 14 January 2011- Del HC) Facts • The taxpayer is engaged in the business of manufacturing and trading non-alcoholic beverages. • The taxpayer claimed depreciation on the amount classified as goodwill which represented the following: – Payment made to bottlers at the time of acquisition of their business, representing consideration for marketing and trading reputation, trading style and name, marketing and distribution territorial know how and information of the territory; – Amount paid for cert...