TMI Blog2020 (12) TMI 672X X X X Extracts X X X X X X X X Extracts X X X X ..... is that the assessee has not disclosed the particulars of intangible assets, which have been acquired by it and therefore, it is not entitled for the benefit of depreciation under Section 32(1) - From perusal of the order passed by the Assessing Officer itself it is axiomatic that he has found that the goodwill has been calculated and has been allotted to intangibles. For yet another reason, the order passed by the tribunal has to be upheld.- Decided against the revenue - I.T.A. NO.250 OF 2011 - - - Dated:- 30-11-2020 - HON BLE MR. JUSTICE ALOK ARADHE AND HON BLE MR. JUSTICE H.T. NARENDRA PRASAD APPELLANTS (BY SRI. K.V. ARAVIND, ADV.,) RESPONDENT (BY SRI. T. SURYANARAYANA, ADV.) JUDGMENT ALOK ARADHE J., T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ected for scrutiny and notices under Section 143(2) and 142(1) were issued on 26.11.2001. The Assessing Officer by an order dated 31.03.2003 inter alia held that Digital Equipment Corporation, United States of America was taken over by the assessee for an amount of ₹ 83.99 Crores and the details of net assets taken over and the particulars of liability, loans etc were furnished in the agreement. However, no particulars with regard to depreciation claim on intangible assets of ₹ 9,07,25,000/- were furnished. The Assessing Officer held that the assessee was not entitled to depreciation on intangible assets under Section 32(1)(ii) of the Act. 3. The assessee thereupon filed an appeal before the Commissioner of Income Tax (Appeal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of intangible assets. It is also urged that reliance placed by the assessee on the decision of the Supreme Court in 'COMMISSIONER OF INCOME-TAX, KOLKATA VS. SMIFS SECURITIES LTD.', (2012) 24 TAXMANN.COM 222 (SC) pertains to unallocable expenditure towards goodwill, which is of no assistance to the assessee in the fact situation of the case. 5. On the other hand, learned Senior counsel for the assessee submitted that the Assessing Officer itself has found that goodwill has been calculated and has been allotted to tangibles and the issue whether goodwill is an asset under Explanation 3(b) to Section 32(1) of the Act is no longer res integra and the same has already been answered by Supreme Court in SMIFS SECURTIES LTD. Supra ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (1) of the Act. We may refer to the relevant extract of the order passed by the Assessing Officer, which reads as under: What transpires from the above is that Digital Equipment Corporation USA has been taken over by Compaq Computer Corporation. Digital as an entity does not exist after the said takeover except in India where only the hardware unit was taken over by Compaq. Whatever business agreement existed between Digital Equipment Corporation and Digital Stand transferred to Compaq Computer Corporation as a result of the Global takeover. Whatever logos, patents, licences where granted to Digitial and which were entitled for the use of Compaq already stand transferred to Compaq Computers USA as a result of the takeover. CCIPL b ..... X X X X Extracts X X X X X X X X Extracts X X X X
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