The Supreme Court of India (SC) issued its decision on 22 August 2012 in the case of CIT v. Smifs Securities Limited (24 Taxmann.com 222) that "goodwill" is an intangible asset eligible for tax depreciation under Income Tax Act 1961 (ITA).
In arriving at the decision, the SC observed the following:
| - | The term "goodwill" represents excess of consideration paid by the Taxpayer over the value of net assets of the amalgamating company taken over. | |