M/S. TECHNO SHARES & STOCKS LTD. vs COMMISSIONER OF INCOME TAX-IV

The Supreme Court held that a BSE Membership Card qualifies as an intangible asset eligible for depreciation under Section 32(1)(ii) of the Income Tax Act, 1961. The Court reasoned that the card, being a right to conduct business on the stock exchange, constitutes a capital asset that can be depreciated. The ruling affirmed the lower court's decision, allowing the assessee to claim depreciation for the relevant assessment years.