Section 43B Not Applicable as Electricity Duty Is Not Assessee’s Liability: P&H HC

PCIT Vs Dakshin Haryana Bijli Vitran Nigam Ltd. (Punjab and Haryana High Court) The Punjab and Haryana High Court adjudicated a batch of seven appeals filed by the revenue concerning a common issue—whether Section 43B of the Income-tax Act, 1961 applies to electricity duty collected by the assessee under the Punjab Electricity (Duty) Act, 1958. The Court examined the matter using the facts from one representative case. The assessee, a licensee engaged in power distribution in Haryana under the Electricity Act, 2003, had filed its return for the assessment year 2008–09 declaring nil income....