https://www.taxtmi.com/caselaws?id=456178 The HC allowed the department's appeal under Section 206-A of the Income Tax Act, overturning the Tribunal's order. It ruled that interest earned from surplus funds deposited in post offices and banks is taxable under Section 56 and not eligible for deduction under Section 80P(2)(d), as it does not constitute income derived from business activities of a cooperative credit society. The decision aligns with precedent set by the Division Bench and the Apex Court, emphasizing that such interest income is not exempt, thereby ruling against the assessee. en-us Tue, 06 Dec 2016 00:00:00 +0530 Thu, 04 Jul 2024 23:20:39 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=456178 The HC allowed the department's appeal under Section 206-A of the Income Tax Act, overturning the Tribunal's order. It ruled that interest earned from surplus funds deposited in post offices and banks is taxable under Section 56 and not eligible for deduction under Section 80P(2)(d), as it does not constitute income derived from business activities of a cooperative credit society. The decision aligns with precedent set by the Division Bench and the Apex Court, emphasizing that such interest income is not exempt, thereby ruling against the assessee. Case-Laws Income Tax Tue, 06 Dec 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=456178