https://www.taxtmi.com/caselaws?id=207846 Receipts termed "deemed generation" charges paid by a power purchaser when it could not offtake electricity were held to have a direct nexus with the eligible industrial undertaking, because they compensated fixed costs necessarily incurred to keep the plant in ready condition and arose only due to the undertaking's generation-and-sale arrangement; deduction under s.80IA was therefore allowable on such income. Provision for bad debts was held to be a provision for diminution in the value of an asset within Expln.1 to s.115JB as amended by the Finance (No.2) Act, 2009, requiring add-back to net profit for computation of book profit; the assessee's challenge was rejected. en-us Fri, 28 May 2010 00:00:00 +0530 Sat, 03 Jan 2026 13:02:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=207846 Receipts termed "deemed generation" charges paid by a power purchaser when it could not offtake electricity were held to have a direct nexus with the eligible industrial undertaking, because they compensated fixed costs necessarily incurred to keep the plant in ready condition and arose only due to the undertaking's generation-and-sale arrangement; deduction under s.80IA was therefore allowable on such income. Provision for bad debts was held to be a provision for diminution in the value of an asset within Expln.1 to s.115JB as amended by the Finance (No.2) Act, 2009, requiring add-back to net profit for computation of book profit; the assessee's challenge was rejected. Case-Laws Income Tax Fri, 28 May 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=207846