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Solar accelerated depreciation calculator

For businesses that own a solar plant. See the year-by-year depreciation schedule and estimated tax saved, including the subsidy adjustment most calculators skip.

Last reviewed 26 September 2026Estimates, not tax advice

Your plant and business

Use the invoice cost before subtracting any subsidy; the tool applies that adjustment for you.

₹, full invoice cost before subsidy
₹, any capital subsidy tied to this plant
%, applicable corporate or slab rate
schedule length shown below
Commissioning date

Year one result

Year 1 tax saved₹5,00,000
₹50,00,000depreciable base after subsidy
₹20,00,000year 1 depreciation claimed
₹43,52,000total depreciation over schedule
₹10,88,000total tax saved over schedule
YearOpening WDVDepreciationClosing WDVTax saved

Uses the 40% WDV rate under Income Tax Rules, 1962, Appendix I, Part A, Serial 8. Tax saved equals depreciation claimed multiplied by your entered tax rate, not a cash refund.

Why the subsidy field matters

Under Explanation 10 to Section 43(1) of the Income Tax Act, a government subsidy tied to an asset's cost must be deducted from that cost before depreciation is calculated. A business that received a capital subsidy and still depreciates the full invoice price is overstating its claim. Enter the subsidy received on this specific asset and the tool adjusts the base automatically.

What this tool does not do

It does not file your return, check your eligibility for the additional 20% allowance, or account for the section renumbering under the Income-tax Act, 2025, which applies from financial year 2026-27. Confirm the exact provision for your filing year with a chartered accountant.

Not tax advice This is a planning estimate using the published formula. Depreciation is calculated on a block of assets, not one machine, and other assets in the same block can change your real result. Use a chartered accountant for the actual filing.