Transfer of trademark acquired prior to 01.04.1998 is taxable as long-term capital gain

Johnson & Johnson Private Limited Vs DCIT (ITAT Mumbai)

ITAT Mumbai held that no provision in the Income Tax Act mandated inclusion of trademark, acquired prior to 01/04/1998, in the block of assets thus there was no depreciation allowable on the same. Hence, provisions of section 50 has no applicability and transfer of such trademark is treatable as long-term capital gain.

Facts- During the assessment proceedings, it was observed that the assessee sold two trademarks “Coldarin” and “Raricap”. T

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