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2012 (12) TMI 132 - ITAT NEW DELHIClaim of Depreciation on goodwill - Scheme of Amalgamation - Held that:- Explanation 3 states that the expression `asset' shall mean an intangible asset, being know-how, patents, copyrights, trademarks, licences, franchises or any other business or commercial rights of similar nature. A reading the words `any other business or commercial rights of similar nature' in clause (b) of Explanation 3 indicates that goodwill would fall under the expression `any other business or commercial right of a similar nature' as per decision of court in Commissioner of Income Tax, Kolkata Versus Smifs Securities Ltd. [2012 (8) TMI 713 - SUPREME COURT] Disallowance of prior period expenses - held that:- An estimated income or liability, which is yet to be crystallized, can only be adjusted as a contingency item but not as an accrued income or liability of that year - restore the issue to CIT(A) for further adjudication.decision in Saurashtra Cement & Chemical Industries Ltd. vs. CIT, [1994 (10) TMI 30 - GUJARAT HIGH COURT] is followed. Disallowance u/s 14A - held that:- following the decision of court in case of Maxopp Investment Ltd. & Others Versus Commissioner of Income Tax [2011 (11) TMI 267 - DELHI HIGH COURT] it is fair and appropriate to set aside the order of CIT(A) and restore the matter to his file for deciding the issue, afresh in accordance with law in the light of aforesaid judicial pronouncements, after allowing sufficient opportunity to both the parties - In result, appeal for the AY 2004-05 is allowed but appeal for the AY 2005-06 is allowed partly for statistical purposes.
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