TaxTMI 
TaxTMI 
2012 (9) TMI 971
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....cial year 2010-11 and 01.04.2011 to 31.12.2011 for verification and (3) to furnish copies of the provisional receipts issued by the NSDL office regarding receipt of quarterly TDS statements for the last three Quarters of Financial year 2011-12 viz. 24Q, 26Q and 27Q and copies of Form No.16 and 16A issued by the Bank for the Financial Year 2010-11 and (4) to comply with such other requirements. 2. According to the petitioners such notices are part of a rowing enquiry and amounts to calling for general information under Section 133(6) of the Income Tax Act (hereinafter referred to as the Act); and that issuance of similar notices under Section 133(6) calling for such general information stands already stayed by the Supreme Court in SLP.3976 of 2010. 3. The respondents in W.P.(C) 14226 of 2012 has filed a detailed statement (which is sought to be adopted in other cases as well) wherein, it has been asserted that the scope of the notice issued has been wrongly understood by the petitioners. It has been asserted that the notice is not under Section 133(6) of the Income Tax Act, but for the purpose of assessment, since the petitioners have failed to file the necessar....
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....nformation sought for, as to furnishing of a 'list' showing the interest credited/accrued in excess of Rs. 5000/- for the relevant assessment years. According to the learned Sr. Counsel, this can only be treated as part of collection of general information as emanating from the provisions under Section 133(6) of the Income Tax Act. When similar information was called for by the Income Tax Department from similar Societies earlier, asking to furnish particulars of individuals who are having deposits of more than Rs. one lakh or above, such notices issued under Section 133(6) of the Act were subjected to challenge before this Court by the aggrieved parties. The main contention in the said writ petitions was that the said course was not permissible without the 'prior approval of the Director' as specified under the 'second proviso' to Section 133 (6), except in the course of an enquiry. Interference was declined and the said writ petitions were dismissed by a Single Bench of this Court, which led to W.A.No.1854 of 2009 and connected cases. After considering the merits involved, interference was declined in the appeals as well, however, holding that, in so far a....
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....n 200(3) of the Act or such other provisions as pointed out in the impugned notices. 7. Mr. M.P. Ashok Kumar, the learned Counsel appearing for the petitioner in W.P.(C)No.15736 of 2012, Shri Sajan Varghese, the learned Counsel for the petitioner in W.P.(C) No.14846 of 2012 and Mr..K.T.Thomas, the learned Counsel appearing for the petitioners in the other cases assert that the competent authority to satisfy the status of the Petitioners Societies as Primary Agricultural Credit Societies is the departmental authority in the State of Kerala and once a certificate is issued in this regard, it is no more open for the authorities of the Income Tax Department to ignore the same or to pursue any independent fact finding exercise. 8. Mr. Jose Joseph, the learned Standing Counsel appearing for the respondents submits with reference to the contents of the statement filed in W.P.(C)No.14226 of 2012 that the idea and understanding of the petitioners as to the scope of the impugned notice is quite wrong and misconceived. As discernible from the notices produced and impugned, no reference is made to Sec.133(6) and it is actually with reference to the mandatory duty cast upon the Societies conc....
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....the scope of enactment, particularly the Co-operative Societies Act and the concept has to be appreciated in the light of hard realities. The very co- operative movement was with a specific intent of social obligation, to extend help and assistance to the needy general public, with easy access and without need or necessity to face much hurdles. The petitioners Societies have to confine their area of operation to a particular Village/Panchayat/Municipality and have to compete with other Public Sector Banks including in the National Sector. It is in the said circumstance, that the petitioners have been permitted to grant interest on deposits slightly at a higher rate than that is being provided by the Scheduled Banks, to attract deposits. This is not governed by the Regulations of the RBI, but by the instructions of the Registrar of the Co-operative Societies in the State. When the petitioners are called for, to disclose the particulars of the individuals having deposits of Rs.One lakh or more or to provide particulars of interests given to an extent of more than Rs. 5000/- per year, it will unnecessarily cause embarrassment to the depositors, leading to 'deposit drain', affe....
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....er.)] (Thaliparamba Municipal Vanitha Service Sahakarana Sangham Ltd. vs. Income Tax Officer (TDS) and another). It is stated that no appeal has been preferred therefrom and it has become final. 13. Notices therein were issued seeking for the following particulars : "1. Details of quarterly returns filed for the financial years 2006-07, 2007-08 and 2008-09 2. Details of payment made towards interest (above Rs. 5000) for the financial years 2006-07, 2007-08 and 2008-09. 3. Copy of the profit and loss account and balance sheet for the financial years 2006- 07, 2007-08 and 2008-09." The said notices also required the addressee to show cause in writing as to: 1. Why the assessee should not be treated as in default under Section 201(1) in respect of non-deduction/short eduction of tax, 2. Why interest under Section 201 (1A) should not be charged and 3. Why penal action under Section271C should not be initiated." The contention of the Societies therein, that the Societies did not constitute a 'person' as defined under Section 2(31)of the Act, was considered meticulously and held against them and in favour of the Revenue; simultaneously sustaining the notices,....
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....espect of interest on the deposits and also as to the particulars of deposits generating interests of more than Rs. 5000/- per year. Sections 194A and 200(3) do not make a reference to the term Primary Agricultural Credit Society, as defined under the Banking Regulation act; more so since Section 194A is applicable to all the persons concerned including the individuals and Body Corporates which takes in a Co-operative Society as well, by virtue of the definition of the term 'person' under Section 2(31). Section 80P provides exemption only in respect of a Primary Agricultural Credit Society as mentioned in sub section (4) and as such, the status of the Society becomes more relevant, as defined under the Banking Regulation Act. However, this may not have much significance to the case in hand, as pointed out in the statement filed by the respondents, that such objective has already been brought about by amending the Kerala Statute as well, incorporating the 'second proviso' to the definition of the term Primary Agricultural Credit Society, as given under Section 2(oa) of the Kerala Co-operative Societies Act, as per Act 7 of 2010. 16. True, some of the petitioners hav....