TaxTMI 
TaxTMI 
2008 (2) TMI 29
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....d to as "the ITAT"), whereby the five appeals filed by different assessees, in which the common question of law was involved, were disposed of. 2 The common issue involved in these appeals is relating to the penalty imposed under section 271B of the Act for violation of the provisions of section 44AB. 3 For the disposal of these appeals, we are taking the facts from I. T. A. No. 476 of 2007. 4 In present case, the respondent is a co-operative credit and service society (hereinafter referred to as "the society") registered under the Haryana Co-operative Societies Act, 1984 (hereinafter referred to as "the Societies Act") and it is being governed by the provisions of the Societies Act. The society derives income from supply of fertil....
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....y with its reply dated September 15, 2005. Before the Assessing Officer, the society raised a contention that it has no control over the appointment of auditor by the Registrar, Co-operative Societies, therefore, the requirement of submitting the audit report within the stipulated period could not be complied with. 6 The Assessing Officer did not accept the explanation given by the society and imposed a penalty of Rs. 24,362, on the society under section 271B of the Act at half per cent. of the gross turnover for failure to get its accounts audited by the chartered accountant and furnish the same along with the audit report by the specified date as per the provisions of section 44AB of the Act. 7 On appeal by the society, the aforesai....
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....d furnish the same along with the audit report in the prescribed form as per the provisions of section 44AB of the Act. Learned counsel further submitted that the second pro viso of section 44AB of the Act provides an alternative to a person, who is required by or under any other law to get his accounts audited under such law before the specified date and furnishes by that date the report of the audit as required under such other law along with a further report by a chartered accountant in the form prescribed. Therefore, the explanation given by the society, which was rightly not accepted by the Assessing Officer and affirmed as such by the Commissioner of Income-tax (Appeals), could not be said to be sufficient and the orders passed by the....
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....) of section 226 of the Companies Act, 1956, is entitled to be appointed to act as here such person is required by or under any other law to get his accounts audited, it shall be sufficient compliance with the provisions of this section if such person gets the accounts of such business or profession audited under such law before the specified date and furnishes by that date the report of the audit as required under such other law and a further report by an accountant in the form prescribed under this section. 11 It is undisputed that the society is registered under the Societies Act and ii it acts under the control of the Registrar, Co-operative Societies. Under section 77 of the Societies Act, the accounts of the co-operative society sh....