- 1 - NC: 2025:KHC:1852-DB ITA No. 504 of 2023 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 17TH DAY OF JANUARY, 2025 PRESENT THE HON'BLE MR JUSTICE KRISHNA S DIXIT AND THE HON'BLE MR JUSTICE G BASAVARAJA INCOME TAX APPEAL NO. 504 OF 2023 BETWEEN: 1. THE PR. COMMISSIONER OF INCOME TAX 5TH FLOOR, BMTC BUILDING, 80 FEET ROAD, KORAMANGALA, BENGALURU - 560 095. 2. THE DUTY COMMISSIONER OF INCOME TAX, CIRLCE-3(1)(1), 2ND FLOOR, BMTC BUILDING, 80 FEET ROAD, KORAMANGALA, BENGALURU - 560 095. … APPELLANTS (BY SRI. Y.V. RAVI RAJ AND SRI DILIP M., ADVOCATE) AND: M/S NXP INDIA PVT. LTD., (FORMERLY M/S NXP SEMICONDUCTORS INDIA PVT. LTD.,) INFORMATION TECHNOLOGY PARK, NAGAWARA VILLAGE, HOBLI BENGALURU - 560 045. PAN: AADCP 9454H … RESPONDENT (BY SMT. VANAJA M R., ADVOCATE) THIS INCOME TAX APPEAL IS FILED UNDER SECTION 260-A OF INCOME TAX ACT 1961, ARISING OUT OF ORDER DATED 29/11/2021 PASSED IN ITA NO.664 /BANG/2020, FOR THE ASSESSMENT YEAR 2008-2009, PRAYING THAT THIS HON'BLE COURT MAY BE PLEASED TO: I). FORMULATE THE SUBSTANTIAL QUESTIONS OF LAW Digitally signed by NANDINI D Location: High Court of Karnataka - 2 - NC: 2025:KHC:1852-DB ITA No. 504 of 2023 STATED THEREIN; II). ALLOW THE APPEAL AND SET ASIDE THE ORDERS PASSED BY THE INCOME TAX APPELLATE TRIBUNAL, BENGALURU IN ITA NO. 664/BANG/2020 DATED 29/11/2021 FOR ASSESSMENT YEAR 2008-2009 ANNEXURE-A CONFIRMING THE ORDER OF THE APPELLATE COMMISSIONER AND CONFIRM THE ORDER PASSED BY THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-3(1)(1), BENGALURU; III). TO PASS SUCH OTHER SUITABLE ORDERS AS THIS HON'BLE COURT DEEMS FIT TO GRANT IN THE FACTS AND CIRCUMSTANCES OF THE CASE IN THE INTEREST OF JUSTICE AND EQUITY. THIS APPEAL, COMING ON FOR FINAL HEARING, THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE KRISHNA S DIXIT AND HON'BLE MR JUSTICE G BASAVARAJA ORAL JUDGMENT (PER: HON'BLE MR JUSTICE KRISHNA S DIXIT) The short question is, as to for the Assessment Year i.e., 2008-09, whether the goodwill needs to be treated as asset for claiming depreciation of value. This question is no longer res integra in view of the decision of Apex Court in the case of Commissioner of Income Tax v. Smit's Securities Limited - LAW (SC)-2012-8-74. 3. The vehement submission of learned panel counsel is that the goodwill ceases to be an asset for the purpose in question because of 2021 amendment to the - 3 - NC: 2025:KHC:1852-DB ITA No. 504 of 2023 Income Tax Act, 1961 not agreeable since the said amendment is apparently with prospective effect. In view of this, the substantial question of law framed does not merit consideration and therefore, the appeal is liable to be dismissed and accordingly it is, costs having been made easy. Sd/- (KRISHNA S DIXIT) JUDGE Sd/- (G BASAVARAJA) JUDGE VP