In the light of judicial pronouncements, discuss the following: Goodwill of a business as an intangible asset.

Supreme Court of India in Khushall Khengar Shah v. Khorshedbanu, AIR 1970 SC 1147, had opined Goodwill of a business as an intangible asset being the whole advantage of the reputation and connections formed with the customers together with the circumstances which make the connections durable. It is that component of the total value of the undertaking which is attributable to the ability of the concern to earn profits over a course of years because of its reputation, location and other features.