Held that a non-compete agreement is right in personam and not an intangible asset. Depreciation not allowable on non-compete fees. (AY.2001-02)
Sharp Business System v. CIT (2026) 484 ITR 496 (Delhi) (HC) Editorial : Sharp Business System (Through Finance Director Mr. Yoshihisa Mizuno) v. CIT (2026) 484 ITR 509/ 308 Taxman 285 (SC), allowed as revenue expenditure.
S. 32 : Depreciation-Intangible asset-Non-compete agreement-Right in personam-Not an intangible asset-Depreciation not allowable on non-compete fees.[S. 32(1)(ii)]
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