Chowgule And Company Pvt. Ltd, Goa V. ACIT, Margao

ITA 38/PAN/2009

• Counselvise Citation: [2016] 133 COUNSELVISE.COM (IT) 2970 (ITAT-PANAJI)
• Duration Of Justice: 7 year(s) 1 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-03-2016
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 2005-2006
• Appeal Filed On: 12-02-2009
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PRASHANT GADEKAR LD
• Assessee Lawyers: KISHOR M BANDEKAR
• Keywords: Depreciation

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PANAJI BENCH, PANAJI BEFORE SHRI NARENDRA S. SAINI , HONBLE ACCOUNTANT MEMBER AND SHRI GEORGE MATHAN , HONBLE JUDICIAL MEMBER ITA NO. 3 8 /PNJ/20 0 9 : (ASST. Y R : 2005 - 06 ) CHOWGULE AND COMPANY PVT. LTD. , MORMUGAO HARBOUR - GOA. PAN : AAACC5479J . ( APPELLANT) VS. ASST. COMMISSIONER OF INCOME TAX, CIRCLE 2 , MARGAO. (RESPONDENT) ASSESSEE BY : SHRI KISHOR M. BANDEKAR, CA. REVENUE BY : SHRI PRASHANT GADEKAR, LD. DR . DATE OF HEARING : 23 / 0 3 /201 6 DATE OF ORDER : 2 3 / 0 3 /201 6 O R D E R PER GEORGE MATHAN : THIS IS AN APPEAL FILED BY THE ASSESSE E AGAINST THE ORDER OF THE LD. CIT(A), PANAJI IN ITA NO. 210/MRG / 07 - 08 , DATED 30 . 11 .20 07 FOR THE ASSESSMENT YEAR 2 005 - 06 . 2. SHRI KISHOR M. BANDEKAR , C.A . REPRESENTED ON BEHALF OF THE ASSESSEE AND SHRI PRASHANT GADEKAR, LD. DR REPRESENTED ON BEHALF OF THE REVENUE. 3. AT THE TIME OF HEARING , BOTH THE PARTIES AGREED THAT GROUNDS BEFORE THE TRIBUNAL , FOR THE ISSUE IN THE APPEAL BEING ON ACCOUNT OF THE CLAIM OF DEPRECIATION OF INTANGIBLE ASSETS BEING GOODWILL IS SQUARELY COVERED BY THE 2 ITA NO. 38 /PNJ/2009 (ASST. YR: 2005 - 06) DECISION OF THE COORDINATE BENCH OF THIS T RIBUNAL IN ASSESSEES OWN CASE IN THE PRECEDING RECONSIDERED ASSESSMENT YEA R I.E. 2006 - 07 IN ITA NO.27/PNJ/2014 , DATED 9.6.2015 WHEREIN THE CO ORDINATE OF THIS TRIBUNAL BY RESPECTFULLY FOLLOWING THE DECISION OF THE HON'BLE SUPREME COURT IN THE CASE OF SMIFS SECURITIES LTD REPORTED IN 348 ITR 302 HAS HELD THAT THE ASSESSEE IS ENTI TLED TO DEPRECIATION ON GOODWILL AS GOODWILL IS A N ASSET UNDER EXPLANATION 3(B) OF SECTION 32(1). 4 . WE HAVE CONSIDERED THE SUBMISSIONS. AS IT IS NOTICED , IN THE DECISION OF THE HON'BLE SUPREME COURT IN THE CASE OF SMIFS SECURITIES LTD (SUPRA) HAS HELD THAT GOODWILL IS AN ASSET WITHIN THE MEANING O F SECTION 32(1) OF THE INCOME TAX ACT , R ESPECTFULLY FOLLOWING THE DECISION OF THE HON'BLE SUPREME COURT IN THE CASE OF SMIFS SECURITIES L TD AND THE DECISION OF THE CO ORDINATE BENCH OF THIS TRIBUNAL IN THE ASSESSEE S OWN CASE REFERRED TO (SUPRA), T HE ASSESSING OFFICER IS DIRECTED TO GRANT THE ASSESSEE THE CLAIM OF DEPRECIATION ON THE SAID INTANGIBLE ASSET AS CLAIMED BY THE ASSESSEE. 5 . IN THE RESULT, APPEAL OF THE ASSESSE E STANDS ALLOW ED. 6 . ORDER PR ONOUNCED IN THE OPEN COURT ON 2 3 . 0 3 .201 6 . SD/ - ( NARENDRA S. SAINI ) ACCOUNTANT MEMBER SD/ - ( GEORGE MATHAN) JUDICIAL MEMBER PLACE : PANAJI - GOA DATED : 2 3 / 0 3 /201 6 *A* 3 ITA NO. 38 /PNJ/2009 (ASST. YR: 2005 - 06) COPY TO : (1) APPELLANT (2) RESPONDENT (3) CIT CONCERNED (4) CIT(A) CONCERNED (5) D.R (6) GUARD FILE TRUE COPY, BY ORDER ASSISTANT REGISTRAR ITAT, PANAJI BENCH, PANAJI