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TMI Blog2014 (6) TMI 661X X X X Extracts X X X X X X X X Extracts X X X X ..... uld strictly apply while interpreting the said expression which find place in explanation 3(b) - ‘goodwill’ is an asset under the explanation 3(b) to section 32(1) and eligible for the depreciation - CIT(A) is not justified in denying the benefit of depreciation claimed by the assessee on the ‘goodwill’ – the AO is directed to allow the claim of depreciation - Decided in favour of Assessee. Admission of additional evidence under Rule 46A of the Rules – Held that:- The assessee claimed the total depreciation on intangible asset as per the business transfer agreement, the value of which is at 11.13 crores - mere devaluation of the goodwill will not reduce the claim of depreciation, as the assessee is entitled @ 25% on the total value of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... claimed the depreciation @ 25% of 11.13 crores, being the value for asset management rights/intangible assets which included the claim of depreciation on the value of goodwill amounting to Rs.82.30 crores on the basis of the valuation report from M/s. SSPA Company obtained by the assessee. In the assessment framed, the AO while not accepting the valuation report filed by the assessee, rejected the claim of depreciation. On appeal, Ld.CIT(A) while accepting the valuation report, has denied the depreciation on goodwill for the reason that goodwill is not listed in the six items mentioned, namely know-how, patent, copyrights, trademarks, licenses, franchises, in clause (ii) of section 32(1). According to the Ld.CIT(A), the asset goodw ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssessment years in which the said issue is involved. 4. Grounds no. 4 5 in the assessee s appeal for the assessment year 2004-05 and 2005-06 relate to the disallowance u/s 14A read with Rule 8D which are not pressed by the assessee and ground no. 6 in the said appeals are consequential in nature. Thus grounds no. 4, 5 and 6 in the assessee s appeals for the assessment year 2004-05 and 2005-06 are dismissed as the same do not require any adjudication. 5. The common issue involved in all the appeals filed by the revenue is pertaining to the admission of fresh valuation report as additional evidence under Rule 46A by the Ld.CIT(A). The Revenue has agitated the same on the ground that the said evidence was not in existence at all till t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lowance of employees contribution to provident fund amounting to Rs.5,28,983/-. It is pertinent to mention that it is an admitted fact that the assessee has made the payments after the due date of payment but the said payment has been paid within the grace period. The decisions of various Courts and Tribunals have held that the payment made within the grace period is held to be made within the due date. In view of that matter, we do not find any justifiable reason to interfere with the decision of the Ld.CIT(A) on this count and the same is upheld. Resultantly, the ground raised by the revenue in this regard is dismissed. 7. In the result, the appeals filed by the Assessee are partly allowed and that of the Revenue are dismissed. Orde ..... X X X X Extracts X X X X X X X X Extracts X X X X
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