Section 80-IA deduction eligible on interest on Bond having direct nexus with business

Odisha Power Generation Corporation Ltd. Vs ACIT (Orissa High Court) In the instant case, the Assessee has no other source of income except through generation and sale of power. All its receipts and expenditure relate to a single activity of power generation. There is no dispute that it is an industrial undertaking covered under Section 80 IA of the Act and that its net profit is otherwise eligible for deduction under Section 80-IA of the Act. The very object of enacting Section 80-IA was to encourage setting up of an industry involved in the generation and distribution of electricity or any o...