Case Law Details
DHL Logistics Private Limited Vs DCIT (ITAT Mumbai)
We have to consider whether goodwill is an intangible asset under section 32, hence, eligible for claim of depreciation. In our view, this issue is no more res integra in view of the decision of Hon’ble Supreme Court in Smifs Securities Ltd. (supra) where the Hon’ble Supreme Court has held that goodwill is in the nature of any other business or commercial rights as provided under Explanation–3(b) of section 32(i) r/w section 32(1)(ii). In view of the same Assessee is eligible for Depreciation On Goodwill Resulting From Acquisition Of Business Unit Of Lee & Muirhead Pvt. Ltd. In A.Y. 2008-09.
FULL TEXT OF THE ITAT JUDGMENT
This appeal is arising out of the order of Dispute Resolution Panel-I, Mumbai [in short ‘DRP’], in objection No. 67 vide direction dated 25.09.2017. The Assessment was framed by the Dy. Commissioner of Income Tax circle 9(3)(1), Mumbai (in short ‘ACIT/AO’) for the assessment years 2013-14 vide order of dated 30.11.2017, under section 143(3) read with section 144C(13) of the Income Tax Act, 1961 (hereinafter ‘the Act).
2. The only issue in this appeal of assessee is against the order of DRP and AO in disallowing the depreciation of goodwill. For this assessee has raised the following ground: –
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