Circular No. 14/2001 — Depreciation on goodwill — allowability
Date: 2001-01-01 Status: ACTIVE Category: Business Income / Deductions Binding on Department: Yes (Section 119 / Section 400 IT Act 2025)
Summary
Goodwill arising from business acquisition is an intangible asset eligible for depreciation under section 32.
Key Directions
- Goodwill is an intangible asset falling under ‘any other business or commercial rights’.
- Depreciation at applicable rate on WDV of goodwill.
- Applies to goodwill acquired through business purchase.
Applicability Under IT Act 2025
Saving Clause: Section 536 of IT Act 2025 saves circulars issued under the 1961 Act “so far as not inconsistent” with the new Act.
| Old Section (1961 Act) | New Section (2025 Act) | Consistent? |
|---|---|---|
| 32 | 32 | Yes |
Cross-References
Act Sections
- Section 32
Related Circulars
- None identified
Key Case Law (Circular Supremacy)
- To be populated — cases where this circular was cited/applied
Full Text
Full text to be added — see raw/circulars/ for PDF when available
Source
- Official: incometaxindia.gov.in/circulars