Assessee claimed depreciation on non-compete fees. The Assessing Officer disallowed the claim on the ground that non-compete fees were not in nature of the intangible asset as per section 32(1)(ii) of the Act. On appeal, disallowance was affirmed. (AY. 2014-15)
Sagar Ratna Restaurants (P.) Ltd. v. ACIT (2022) 195 ITD 88 (Delhi)(Trib.)
S. 32 : Depreciation-Non-compete fee-Intangible asset-Depreciation not allowable-Capital expenditure. [S. 32(1)(ii)]