https://www.taxtmi.com/caselaws?id=776432 ITAT Ahmedabad held that the AO and CIT(A) exceeded their jurisdiction by addressing depreciation on goodwill in a limited scrutiny case restricted to share capital increase, rendering the assessment order unsustainable. The Tribunal ruled depreciation on purchased goodwill allowable, distinguishing it from amalgamation cases and affirming goodwill as a recognized intangible asset with cost. The valuation report supporting goodwill's cost was accepted, as the AO failed to provide contrary evidence or obtain required prior approval before disallowing it. Consequently, the addition disallowing depreciation on goodwill was deleted and the assessee's appeal was allowed. en-us Tue, 05 Aug 2025 00:00:00 +0530 Mon, 11 Aug 2025 08:43:24 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=776432 ITAT Ahmedabad held that the AO and CIT(A) exceeded their jurisdiction by addressing depreciation on goodwill in a limited scrutiny case restricted to share capital increase, rendering the assessment order unsustainable. The Tribunal ruled depreciation on purchased goodwill allowable, distinguishing it from amalgamation cases and affirming goodwill as a recognized intangible asset with cost. The valuation report supporting goodwill's cost was accepted, as the AO failed to provide contrary evidence or obtain required prior approval before disallowing it. Consequently, the addition disallowing depreciation on goodwill was deleted and the assessee's appeal was allowed. Case-Laws Income Tax Tue, 05 Aug 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=776432