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TMI Blog2017 (11) TMI 1862X X X X Extracts X X X X X X X X Extracts X X X X ..... In the present case also, the Business Transfer Agreement is a composite agreement and the non-compete clause therein was supporting clause to strengthen the commercial rights which had been transferred to the assessee herein. A perusal of the decision of M/s.Cosmos Co-op Bank Ltd. [ 2014 (1) TMI 1696 - ITAT PUNE] shows that even the customer list has been treated as falling within the expression business or commercial rights of similar nature contained in Sec.32(1)(ii) as relied upon the decision of M/s.Areva T D India Ltd.[ 2012 (4) TMI 79 - DELHI HIGH COURT] Assessee is entitled to the depreciation on the intangible asset viz., goodwill/customer list as claimed by him. Our view is also on account of the fact that Sec.92B in res ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... appeal. It was a submission that the assessee was only pressing Ground Nos.2 to 2.5 which was against the action of the Ld.CIT(A) in confirming the disallowance made by the AO in relation to claim of depreciation on intangible asset representing the goodwill/customer list. It was a submission that the assessee is in the business of providing Pest Control Services. It was a submission that during the AY 2009-10, the assessee had with the objective of expanding its business, had acquired the businesses of 7 other companies under Business Transfer Agreements (BTA). The assessee company had capitalized the payments in respect of the payment for the goodwill/customer list and the assessee had claimed depreciation on the same. It was a submission ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a further submission that neither the term customer list nor non-compete fee was defined in Sec.32. It was a submission that Sec.92B(2)(ii)(f) however defined intangible asset to include the customer list and sub-clause (g) to include non-compete fee. It was a submission that as the customer list as claimed by the assessee and non-compete fee as held by the AO were both intangible assets, in view of the provisions of Sec.32, the assessee was entitled to the claim of depreciation. 4. In reply, the Ld.DR vehemently supported the order of the Ld.CIT(A) the AO. It was a submission that Sec.92B was in relation to international transactions and Sec.32 did not include customer list or noncompete fee. 5. We have considered the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... we are of the view that the assessee is entitled to the depreciation on the intangible asset viz., goodwill/customer list as claimed by him. Our view is also on account of the fact that Sec.92B in respect of international transactions under the Explanation thereto has provided that the expression intangible property would include under clause-(f) customer related intangible assets such as customer list, customer contacts, . , thus, the legislature in its wisdom in respect of the international transactions provided for the expression intangible property to include intangible assets such as customer list in Sec.92B then an interpretation difference from the same cannot be taken that under the same applicable act and that too to the d ..... X X X X Extracts X X X X X X X X Extracts X X X X
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