AI OCR 
TaxTMI 
TaxTMI 
TaxTMI 
2014 (10) TMI 401
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....ner is a Co-operative Society, registered under the provisions of the Tamil Nadu Co-operative Societies Act, 1983 (in short the Act). It derives income from carrying on the business of providing credit facility to its members and income from house property, selling of plots and dividend income. The petitioner is assessed to tax on the files of the Assistant Commissioner of Income-Tax, Circle-I / 1st respondent. 4. The issue involved in these writ petitions relates to four assessment years from 2008 to 2012. Since the scope of these writ petitions is narrow, it may not be necessary to go into the factual details of each and every assessment order and the pattern of orders of assessment for 4 years are also identical. 5. The assessments w....
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....n on 24.09.2014. In the said stay petition, the petitioner contended that vide Finance Act, 2006 with effect from 01.04.2007, the benefit of deduction available to certain co-operative banks were withdrawn by insertion of new sub-section(4) to provide that the provisions of this section will not apply in relation to any co-operative bank other than a primary agricultural credit society or a primary co-operative agricultural and rural development bank. The petitioner relied upon the circular issued by the Central Board of Direct Taxes (CBDT) under Circular No.6 of 2010 dated 20.09.2010, wherein it was stated that Section 80P was amended by the Finance Act, 2006 with effect from 01.04.2007 introducing Sub-section (4), which lays down specific....
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....deduction under Section 80P. By relying upon Section 5(b) of the Banking Regulation Act, it was contended that the petitioner Society is not a Bank and they do not hold license as required under Section 22 of the Banking Regulation Act. 9. However, it was submitted that the provisions of the Banking Regulation Act, namely, Sections 5(b) and 22 were not taken note of at the time of assessment. Therefore, it was reiterated that the object of the Society is to help its members on housing needs and hence, Section 80P(4) will not be applicable in the case of the petitioner. 10. The petitioner placed reliance on the clarification issued by the CBDT, while granting stay of demand and reliance was also placed on Clause C to the guidelines, more p....
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....er has mentioned that the demand has arisen due to interpretation of law and case is pending before CIT(A), stay of demand cannot be granted unless there is a clear case of financial stringency and also filing of appeal before the CIT(A) cannot be a valid ground for deferring the recovery proceedings. Hence, the petition for stay of collection filed was not entertained. 12. It is to be noted that the petitioner in the stay petition has specifically raised that the decision of the Hon'ble Gujarat High Court is fully in their favour. Therefore, they have raised the issue to establish prima facie case. That apart, the specific case of the petitioner is that they are not doing banking activities and they do not fall within the definition o....
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....opted for grant of interim order are that; i) prima facie case; ii) balance of convenience; iii) irreparable loss or hardship. 14 (i). When the petitioner has placed reliance on the decision of the Hon'ble Gujarat High Court, that can very well be considered. Since the said decision has not been considered, the petitioner has duly established the prima facie case. 14(ii) The next aspect to be considered is whether balance of convenience is in favour of the petitioner Society. If the decision of the Hon'ble Gujarat High Court is said to be applicable to the case of the petitioner, then obviously balance of convenience is in their favour. Further contention is that the petitioner Society is not doing banking business and therefor....