https://www.taxtmi.com/caselaws?id=236717 For deduction under s. 80-IA in respect of a windmill undertaking supplying power for captive consumption, the dominant issue was determination of the "market value" of electricity for computing eligible profits. The Tribunal held that where sale to the State electricity board is compulsory at a pre-fixed procurement tariff and direct sale to consumers is prohibited, the board's consumer tariff represents the market rate because electricity pricing is government-regulated rather than demand-driven. Accordingly, the market value was taken at the tariff charged to industrial consumers (Rs. 3.50 per unit) and not the lower procurement rate (Rs. 2.70 per unit), resulting in allowance of the higher s. 80-IA deduction; appeal allowed in favour of the assessee. en-us Wed, 14 Nov 2012 00:00:00 +0530 Fri, 09 Jan 2026 16:17:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=236717 For deduction under s. 80-IA in respect of a windmill undertaking supplying power for captive consumption, the dominant issue was determination of the "market value" of electricity for computing eligible profits. The Tribunal held that where sale to the State electricity board is compulsory at a pre-fixed procurement tariff and direct sale to consumers is prohibited, the board's consumer tariff represents the market rate because electricity pricing is government-regulated rather than demand-driven. Accordingly, the market value was taken at the tariff charged to industrial consumers (Rs. 3.50 per unit) and not the lower procurement rate (Rs. 2.70 per unit), resulting in allowance of the higher s. 80-IA deduction; appeal allowed in favour of the assessee. Case-Laws Income Tax Wed, 14 Nov 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=236717