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TMI Blog2015 (11) TMI 578X X X X Extracts X X X X X X X X Extracts X X X X ..... elating to the depreciation of goodwill has now been settled by the hon'ble Supreme Court in the case of CIT v. Smifs Securities Ltd. [2012 (8) TMI 713 - SUPREME COURT] to held hat the goodwill also falls under the expression "any other business or commercial right of a similar nature" and thus would be an asset under Explanation 3(b) to section 32(1) of the Act, we accordingly hold that the asses ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssee thereafter brought an application under section 254 of the Income-tax Act, 1961, pleading that the ground No. 4 of the appeal of the assessee, which was relating to the claim of depreciation on goodwill has remained unadjudicated. The Tribunal vide order dated August 1, 2014 passed in M. A. No. 136/M/2014 recalled the order dated March 12, 2014 to the limited extent for adjudication on ground ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ival contentions of the learned representatives of both parties and have also gone through the record. The lower authorities have rejected the claim of depreciation on goodwill observing that the goodwill does not fall within the definition of eligible intangible assets for the claim of depreciation thereupon under section 32(1)(ii) of the Income-tax Act. 4. The learned authorised representat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r business or commercial right of a similar nature'. The principle of ejusdem generis would strictly apply while interpreting the said expression which finds place in Explanation 3(b). 11. In the circumstances, we are of the view that 'goodwill' is an asset under Explanation 3(b) to section 32(1) of the Act. 5. In view of the categorical finding of the hon'ble Supreme Court ..... X X X X Extracts X X X X X X X X Extracts X X X X
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