Bogus donation receipts justified commission income assessment and defeated political-party tax exemption for inaccurate accounts and reporting failur...
Pure reimbursement without income element escapes tax withholding, while delayed withholding and unsupported provisions face deferred or renewed scrut...
Public benefit requirement defeats charitable registration where residents' association services are reciprocal, member-only facilities governed by mu...
Exempt-income expenditure disallowance is confined to investments that actually generated exempt income, while supported business expenses remain dedu...
Depreciation on non-compete fees arising from acquisition of a proprietary business through a slump sale is unsustainable where such fees are allowable only as revenue expenditure. In contrast, goodwill created when slump-sale consideration exceeds the net value of acquired assets may qualify for depreciation where it was not an existing depreciable asset or block transferred from the predecessor. Successor-depreciation restrictions do not apply to goodwill absent from the predecessor's books, and the later statutory exclusion of business goodwill applies prospectively from 1 April 2021. Accordingly, depreciation on non-compete fees was rejected, while depreciation on the goodwill was allowed.
Depreciation on non-compete fees arising from acquisition of a proprietary business through a slump sale is unsustainable where such fees are allowable only as revenue expenditure. In contrast, goodwill created when slump-sale consideration exceeds the net value of acquired assets may qualify for depreciation where it was not an existing depreciable asset or block transferred from the predecessor. Successor-depreciation restrictions do not apply to goodwill absent from the predecessor's books, and the later statutory exclusion of business goodwill applies prospectively from 1 April 2021. Accordingly, depreciation on non-compete fees was rejected, while depreciation on the goodwill was allowed.
Note: It is a system-generated summary and is for quick reference only.
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