2017 (3) TMI 1485

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..... as been decided by the Tribunal, in our considered view, cannot come within the purview of accounting principle and, therefore, it has been noted that the Judgments which have been relied upon before us substantially support the claim of the appellant – herein and accordingly, we set aside the order so passed by the Tribunal. As a consequence thereof, whatever consequential orders are necessary to be passed in the matter, the concerned Authorities shall take necessary steps in the matter.
Pinaki Chandra Ghose And Deepak Gupta, JJ. For the Appellant : Mr. M.G. Ramachandran, Adv. Mr. K. V. Mohan, AOR Ms. Pooja Saigal, Adv For the Respondent : Mr. Pradeep Misra, AOR ORDER We have heard Mr. M.G. Ramachandran, learned counsel appearing fo .....

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..... er Scheme. The said clause recognized the consideration for the assets transferred as ₹ 1000.00 Crores. However, by another transfer scheme, the Uttar Pradesh State Electricity Board (UPSEB) was re-organized and the power purchase functions of UPSEB came to be vested in Uttar Pradesh Power Corporation Limited (UPPCL). The Tariff Regulations, 2001 framed by the Central Commission under the Electricity Regulatory Commission Act deciding on the terms and conditions of tariff for determination of tariff came into force. It is not necessary for us to deal with such matter and the only question with regard to depreciation has to be dealt with in the matter which has been placed before us by the respective learned counsel appearing for the p .....

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..... cording to him, has wrongly distinguished the decision of this Hon'ble Court relied upon by the appellant before the said Tribunal which is reported in AIR 1959 SC 1232 (Jogta Coal Company vs. Commission of Income Tax) and another decision reported in (1972) 2 SCC 436 (Guzdar Khajura Coal Mines Limited vs. Commissioner of Income Tax) wherein it has been laid down that the purchase value should be the basis for computing the depreciation. The Appellate Tribunal has merely stated that the treatment for depreciation under the Income Tax Act and for determination of tariff under the Electricity Act are different. However, such point which has been decided by the Tribunal, in our considered view, cannot come within the purview of accounting .....

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