Case Law Analysis
|Income Tax Appellate Tribunal
Section 32(1)(ii) Income Tax Act | Right to Annuity under DBFOT Highway Contract Qualifies as Intangible Asset for Depreciation : ITAT Mumbai
The ITAT Mumbai has ruled that the right to receive annuity payments under a DBFOT highway contract constitutes an intangible asset under Section 32(1)(ii) of the Income Tax Act, enabling depreciation claims. This sets a critical precedent for infrastructure financiers and SPVs structured under public-private partnerships, clarifying the tax treatment of future revenue streams as depreciable capital assets.