2019 (6) TMI 1364

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.... Singh, CA ORDER PER O.P. KANT, A.M.: The present appeal is directed against the order of CIT(A)-9, New Delhi, dated 23.12.2016, for assessment year 2012-13, raising following effective ground: "On the facts and in the circumstances of the case, Ld. CIT(A) has erred in deleting the disallowance of Rs. 10,29,60,726/- on account of Depreciation on Goodwill." 2. At the outset, th....

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....t the time of filing of return. From the impugned order, we find that the Ld. CIT(A) deleted the disallowance by relying on the decision of Hon'ble Supreme Court in the case of Smifs Securities Ltd., wherein it was held that "Goodwill is an asset under Explanation 3(b) to section 32(1) and, thus it is eligible for depreciation. Explanation-5 to Section 32(1) of the Income-tax Act, 1961, makes i....

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.... the provisions of this sub-section shall apply whether or not the assessee has claimed the deduction in respect of depreciation in computing his total income." 5. On perused of the above provision, it is clear that even if the assessee had not claimed any deduction in respect of depreciation in computing the total income, the deduction is allowable as per the provisions of S. 32(1) of th....