Goodwill Treatment, Income Tax

[vignesh VSACCOUNTOPRIVATELIMITED]

Sir. any inputs on treatment of goodwill paid for purchase of business? under income tax act !

1. Can Goodwill paid to acquire business treated as expense?

2. Amortization of amount paid for Goodwill in books possible?

Posts / Replies

[DR.MARIAPPAN GOVINDARAJAN]

In my view-

Goodwill paid to acquire business can be treated as expense,

Amortization of amount paid for Goodwill in books is not possible.

[KASTURI SETHI]

Dear Sir,

Thanks a lot for enrichment of my knowledge.