https://www.taxtmi.com/caselaws?id=214029 A transferable FL-3 abkari licence issued under the Foreign Liquor Rules can qualify as an intangible asset or business right under section 32(1)(ii) of the Income-tax Act when it is used for carrying on liquor trade and is capable of long-term business exploitation. Its transferability and annual renewal support treatment as a business or commercial right of similar nature, so depreciation cannot be denied merely because actual erosion in value is not separately shown. Depreciation on such an asset, however, must be computed on the written down value basis and not on the original purchase price or actual cost. en-us Fri, 24 Jun 2011 00:00:00 +0530 Wed, 25 Apr 2012 19:01:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=214029 A transferable FL-3 abkari licence issued under the Foreign Liquor Rules can qualify as an intangible asset or business right under section 32(1)(ii) of the Income-tax Act when it is used for carrying on liquor trade and is capable of long-term business exploitation. Its transferability and annual renewal support treatment as a business or commercial right of similar nature, so depreciation cannot be denied merely because actual erosion in value is not separately shown. Depreciation on such an asset, however, must be computed on the written down value basis and not on the original purchase price or actual cost. Case-Laws Income Tax Fri, 24 Jun 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=214029