It was held that the assessee being an electricity generation company has to prepare its accounts under the West Bengal Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2007 and since its accounts were not prepared in terms of Parts II and Part III of Schedule VI to the Companies Act, 1956 which is primary condition for computing book profit, the provision of section 115JB could not be applied in the case of electricity generating company. (AY. 2010-2011)
India Power Corporation Ltd. v. ACIT (2018) 63 ITR 42 (SN) (Kolk)(Trib.)
S.115JB: Book profits —Generation and distribution of electricity — Accounts to be prepared under state legislation — Provision computing book profit is not applicable.