2015 (2) TMI 1094

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....nt : Farhat Hussain Qureshi (CIT-II) ORDER Abraham P. George (Accountant Member) 1. Assessee, in these appeals assails the orders of the CIT under section 263 of the Income-tax Act, 1961 ( in short 'The Act') whereby he held the assessments done on the assessee under section 143(3) of the Act, to be erroneous in so far as it was prejudicial to the interest of revenue. 2. Reason....

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....hen the matter came up before us, learned counsel for the assessee, submitted that the Tribunal in the case of Bagalkot District Central Co-operative Bank vs JCIT (ITA No.1572/Bang/2013 dated 30- 05-2014) had unequivocally held that it was not possible to exclude a Cooperative Society engaged in business of banking from being considered as a Co-operative Society, perse. As per the learned AR, thou....

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....0P(2)(d) of the Act. Out of the total claim of Rs. 9,77,821/- AO had disallowed Rs. 4,770/- being interest of TDS for the assessment year 2009-10. Therefore, it is not a case where AO failed to apply his mind at all. 6. Now coming to the question as to whether the interest on deposits earned by a Co-operative Society, where such deposits were with a Co-operative Bank, we are of the opinion that....

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....ed to deduct tax at source if the interest credit were paid to any Co-operative Society. It had unequivocally held that the said provision applied to all Co-operative Society including a Cooperative Society engaged in the business of the bank or in other words, a Co-operative Bank. Therefore, the view taken by the AO that income by way of interest or dividends earned by the assessee society from t....