INCOME TAX OFFICER, BANGALORE vs. M/S FIBRES AND FABRICS INTERNATIONAL PRIVATE LIMITED, BANGALORE

4 & 106/Bang/2017 case of CIT Vs. Manipal Universal Learning (P) Ltd. in ITA No.61 of 2007 dt.1.4.2013. No contrary decision of the Hon'ble Apex Court on this issue was placed before us by Revenue. In its order in ITA Nos.918 & 919/Bang/2013 in assessee's own case for Assessment Years 2008-09 & 2009-10, the co-ordinate bench of this Tribunal held as under at paras 20 & 26 thereof :

3.3.2 Respectfully following the decision of the Hon'ble Apex Court in the case of CIT Vs. Smiffs Security Ltd. (supra), the Hon'ble High Courts referred to (supra) and the decision of the co-ordinate bench of this Tribunal in assessee's own case for Assessment Years 2008-09 & 2009-10 (supra), we hold that the assessee in the case on hand is entitled to be allowed depreciation on goodwill. In this view of the matter, we uphold the impugned orders of the CIT (Appeals) for the two concerned Assessment Years and direct the Assessing Officer to allow the assessee's claim of depreciation on goodwill. Consequently, the grounds Nos.1 to 7 raised by revenue are dismissed.