https://www.taxtmi.com/caselaws?id=38871 Goodwill was treated as a fixed asset for section 23A of the Indian Income-tax Act, 1922, because it is an intangible capital asset recognised in the fixed-assets side of the balance-sheet. Amounts written off against goodwill, after a justified reduction in its value, ceased to form part of accumulated profits or reserves for statutory comparison. In assessing whether a dividend was reasonably distributable, established capital loss arising from the goodwill write-off had to be considered, and the exclusion of that loss was incorrect. The reference was answered substantially in favour of the assessee, with the goodwill and accumulated-profits questions decided against the revenue. en-us Mon, 28 Jul 1975 00:00:00 +0530 Sat, 10 Apr 2010 10:54:42 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=38871 Goodwill was treated as a fixed asset for section 23A of the Indian Income-tax Act, 1922, because it is an intangible capital asset recognised in the fixed-assets side of the balance-sheet. Amounts written off against goodwill, after a justified reduction in its value, ceased to form part of accumulated profits or reserves for statutory comparison. In assessing whether a dividend was reasonably distributable, established capital loss arising from the goodwill write-off had to be considered, and the exclusion of that loss was incorrect. The reference was answered substantially in favour of the assessee, with the goodwill and accumulated-profits questions decided against the revenue. Case-Laws Income Tax Mon, 28 Jul 1975 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=38871