Tax Management India. Com
Law and Practice  :  Digital eBook
Research is most exciting & rewarding
  TMI - Tax Management India. Com
Follow us:
  Facebook   Twitter   Linkedin   Telegram
Income Tax - Highlights / Catch Notes

Home Highlights February 2024 Year 2024 This

Depreciation on goodwill - Business acquired in amalgamation - ...


Goodwill from business amalgamation qualifies for depreciation under IT Act; court-sanctioned schemes not tax evasion.

February 13, 2024

Case Laws     Income Tax     AT

Depreciation on goodwill - Business acquired in amalgamation - The ITAT held that, the excess consideration discharged over the net assets, representing goodwill, is eligible for depreciation under Section 32 of the Income Tax Act. The Tribunal found that the scheme of amalgamation was not a device for tax evasion, emphasizing that when a scheme is sanctioned by the court, it is deemed to be in public interest and not opposed to it. The ITAT directed the AO to allow the claim of depreciation on goodwill for the assessment years 2016-17 to 2018-19

View Source

 


 

You may also like:

  1. Disallowance of depreciation on goodwill created in the scheme of amalgamation - The ITAT allowed the claim for depreciation on goodwill, aligning with the precedent set...

  2. Levy of stamp duty on schemes of amalgamation or restructuring - The High court found that orders of the court sanctioning amalgamation/restructuring, along with the...

  3. HC upheld ITAT's ruling allowing depreciation on goodwill acquired through amalgamation. Revenue authorities were estopped from challenging the scheme's validity since...

  4. Denial of depreciation on goodwill arising from scheme of amalgamation - on one hand in the remand proceedings, the AO for the first time raised doubts about the...

  5. Offshore unit in Dubai treated as proprietary concern, profits taxable in assessee's hands. AO's addition disallowed based on ITAT's consistent rulings favoring assessee....

  6. Disallowance of depreciation on goodwill - scheme of amalgamation - the very purchase of goodwill is not proved by the assessee - Disallowance of depreciation is thus...

  7. Depreciation on goodwill - Scheme of amalgamation sanctioned - So far as objection of ld CIT-DR for the revenue that due to the amendment in section 32, the goodwill is...

  8. Scheme of arrangement / amalgamation - prayer for winding up since the transfree company felt that scheme is unworkable - The Court cannot add terms to the scheme which...

  9. Depreciation on goodwill arising out of amalgamation - The excess of liabilities over net assets was treated as goodwill - goodwill arising on account of amalgamation...

  10. Rectification u/s 154 - Credit for Tax Deducted at Source (TDS) as deducted in respect of the Transferor Company - scheme of arrangement of amalgamation - respondent...

  11. Depreciation on goodwill generated in the scheme of amalgamation - the depreciation on the goodwill originated in the earlier year cannot be disturbed in the year under...

  12. ITAT ruled in favor of assessee, setting aside revision under s.263 regarding goodwill depreciation claim post-amalgamation. The tribunal found PCIT's jurisdiction...

  13. Long term capital loss on sale of equity shares - Approved Amalgamation Scheme - This is a classic case where the Ld.AO had denied the benefit which is statutorily...

  14. Filling of Modified return after amalgamation - Effect of order of tribunal or court in respect of business reorganisation u/s 170A - The High Court observed that...

  15. Amalgamation - u/s 391 the C. Govt. & IT Authority do not have any powers to intervene or to be heard on any scheme which is filed seeking sanction of the Court - HC

 

Quick Updates:Latest Updates