Network Rights is Goodwill eligible for depreciation U/s. 32(1)(ii)

Apna Incable Broad Band Services Pvt. Ltd. Vs DCIT (ITAT Hyderabad) The AO was of the opinion that the network rights are not intangible assets and therefore, depreciation is not allowable thereon. The AO treated the network rights as “goodwill” and observing that no depreciation is allowable on goodwill u/s 32(1)(ii) of the Act, he disallowed the claim of depreciation and brought it to tax. The learned Counsel for the assessee Shri A. Srinivas, while reiterating the submissions made by the assessee before the authorities below submitted that the findings of the AO that the Network Rights ...