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2019 (12) TMI 1645 - ITAT KOLKATADepreciation on goodwill - goodwill in subject was acquired during merger of two companies - AO disallowed the depreciation on goodwill merely on the ground that the goodwill is not reflected in the post-merger audited financial statement and the tax audit report of the assessee - HELD THAT:- As decided in M/s Shristi Infrastructure Development Corporation Ltd. [2019 (9) TMI 1700 - ITAT KOLKATA] assessee has submitted that post approval of merger by the Hon’ble High Court of Delhi and Hon’ble Calcutta High court, the audited financial statement clearly reflected the amount of goodwill that arose pursuant to the merger. The same was also filed with the A.O - Though in the tax audit report the tax auditor has not considered the depreciation on goodwill, but the same cannot be the basis of disallowance. We find that such disallowance made by the Assessing Officer is erroneous. On appeal by assessee, CIT(A) has appreciated the facts of the assessee company and deleted the addition. That being so, we decline to interfere in the order passed by the ld. CIT(A), his order - Decided against revenue.
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