https://www.taxtmi.com/caselaws?id=410844 Depreciation on a leased captive power plant was treated as allowable where the plant was constructed, covered by a registered lease, supported by board and shareholder approvals, and ready for commissioning in the relevant year; the later acceptance of depreciation in subsequent years also supported the arrangement. Power charges paid to the lessee were not allowed in full because no power was actually generated and no contractual basis justified payment in that situation. A higher disallowance under section 14A in normal computation was reduced because the recorded satisfaction requirement was not met. For book profit under section 115JB, rule 8D could not be imported, but the assessee's own limited disallowance was sustained. en-us Tue, 03 Aug 2021 00:00:00 +0530 Tue, 10 Aug 2021 11:34:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=410844 Depreciation on a leased captive power plant was treated as allowable where the plant was constructed, covered by a registered lease, supported by board and shareholder approvals, and ready for commissioning in the relevant year; the later acceptance of depreciation in subsequent years also supported the arrangement. Power charges paid to the lessee were not allowed in full because no power was actually generated and no contractual basis justified payment in that situation. A higher disallowance under section 14A in normal computation was reduced because the recorded satisfaction requirement was not met. For book profit under section 115JB, rule 8D could not be imported, but the assessee's own limited disallowance was sustained. Case-Laws Income Tax Tue, 03 Aug 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=410844