With reference to case for the Company amortization expenses will be add back for tax purposes due to the Company consult this issue with EY Corporate Services Limited that this option would be in favor of the Revenue Department since there will be no amortization expenses of the right for AYCAL income tax purpose and AYCAL will not get any dispute and tax assessment by the tax official. However, this option will not provide any tax benefit to AYCAL, other than avoiding the dispute and tax assessment with the Revenue Department.
Our comment provided above was based on the discussion with AYCAL’s management. All information is verbally advised by the management. The relevant agreement and report are not available for our review. Our advice, as expressed herein, is based on the facts and assumptions that are stated herein. If the facts and assumptions deviate from the facts and assumptions described herein, or the facts and assumptions are inaccurate, our analysis and advice my change and may be adversely affected.