Amalgamated Company Can Adjust Asset Value and Claim Depreciation Without Central Govt Approval: Bombay HC

The Bombay High Court reiterated that an amalgamated company can adjust the written down value of assets of the amalgamating companies and claim depreciation without requiring central government approval. This ruling reaffirms the court's earlier stance on the interpretation of the Income Tax Act concerning mergers and amalgamations. It simplifies the tax procedures for companies undergoing mergers by eliminating the need for a specific approval for adjusting asset values for depreciation claims. This decision is beneficial for corporate restructuring and reduces the administrative burden associated with mergers from a tax perspective.