https://www.taxtmi.com/caselaws?id=408985 Income is taxable on accrual only when it represents real income, not a disputed or hypothetical claim. Capacity charges, deemed generation charges and capacity index incentive were shown only as claimable amounts, and the dispute covered the basis, modality and verification of the charges; since the amounts were later settled and offered to tax when recovery began, they did not accrue in the year under appeal. Depreciation could not be denied merely on the assertion that the assets had nil actual cost, and the Tribunal applied its earlier approach in the assessee's case for a prior year. The assessee succeeded on both issues and the departmental appeal failed. en-us Mon, 31 May 2021 00:00:00 +0530 Sat, 26 Jun 2021 07:43:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=408985 Income is taxable on accrual only when it represents real income, not a disputed or hypothetical claim. Capacity charges, deemed generation charges and capacity index incentive were shown only as claimable amounts, and the dispute covered the basis, modality and verification of the charges; since the amounts were later settled and offered to tax when recovery began, they did not accrue in the year under appeal. Depreciation could not be denied merely on the assertion that the assets had nil actual cost, and the Tribunal applied its earlier approach in the assessee's case for a prior year. The assessee succeeded on both issues and the departmental appeal failed. Case-Laws Income Tax Mon, 31 May 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=408985