Depreciation on non ­compete fee payment treating it as an intangible asset

Advocate Akhilesh Kumar Sah

DCIT vs. Compass Group (India) Support Services P. Ltd.(ITAT Chennai)

Recently in the DCIT vs. Compass Group (India) Support Services P. Ltd.  ITAT Chennai decided on 12.06.2019, one of the ground taken by Revenue in the appeal was that the Learned CIT(A) has erred in providing relief to the assessee by holding that the appellant was entitled to depreciation on non ­compete fee as an intangible asset under Section 32( l)(ii) of the Income Tax Act, 1961 (hereinafter referred in short as the Act).

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