https://www.taxtmi.com/caselaws?id=303980 Goodwill arising on slump sale acquisition of a going concern was treated as an eligible intangible asset for depreciation under section 32(1), because the excess consideration reflected commercial advantages such as goodwill and other acquired intangibles. The consideration was not shown to be excessive or sham, as the transaction documents and surrounding circumstances supported the valuation and the revenue produced no contrary material. Explanation 3 to section 43(1) was held inapplicable because the goodwill was not a pre-existing asset previously used by another person and the requisite tax-avoidance purpose was not established. The depreciation claim was therefore allowed and the disallowance set aside. en-us Wed, 15 Jun 2022 00:00:00 +0530 Thu, 09 Jul 2026 11:58:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=303980 Goodwill arising on slump sale acquisition of a going concern was treated as an eligible intangible asset for depreciation under section 32(1), because the excess consideration reflected commercial advantages such as goodwill and other acquired intangibles. The consideration was not shown to be excessive or sham, as the transaction documents and surrounding circumstances supported the valuation and the revenue produced no contrary material. Explanation 3 to section 43(1) was held inapplicable because the goodwill was not a pre-existing asset previously used by another person and the requisite tax-avoidance purpose was not established. The depreciation claim was therefore allowed and the disallowance set aside. Case-Laws Income Tax Wed, 15 Jun 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=303980