Depreciation on solar projects

[Dhirendra Srivastava]

In case of installing solar projects,government is purchasing power from producer at higher rate Rs 18 per KWH. Can somebody advise me on rate of depreciation under IT applicable. DS

AI Summary

Depreciation Rate for Solar Projects Confirmed at 80% Under Income Tax Rules, 1962, Annexure 1, Entry No. XII1. A query was raised regarding the depreciation rate applicable to solar projects under income tax laws. The government purchases power from producers at a higher rate of Rs 18 per KWH. A response indicated that for specific solar projects, the depreciation rate is 80%. The relevant information can be found under entry no. xii1 in the Plant and Machinery block of Annexure 1 of the Income Tax Rules, 1962.