2016 (3) TMI 1113

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....and in law, the learned CIT-Ahmedabad-I, has grievously erred in assuming jurisdiction u/s 263 of the Act. (2) That on facts, and in law, the learned CIT-Ahmedabad-I, has grievously erred in holding that appellant is not entitled to deduction u/s 80P(2)(a)(i) of the Act in respect of interest income of Rs. 42,14,854/-.  (3) That on facts and in law, it ought to have been held that entire income of appellant is deductible u/s 80P(2)(a)(i) of the Act, as prayed for. (4) The appellant craves leave to add, alter, amend any ground of appeal. 2. The assessee is a co-operative society engaged in providing credit facilities to its members. The original return of income was filed on 25.09.2010 declaring total incom....

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....rest income of Rs. 42,14,854/- was not brought to tax. Accordingly, it is held that the assessment order passed u/s 143(3) dated 05.11.2012 was erroneous and prejudicial to the interest of revenue. Hence, the said assessment for AY 2010-11 dated 05.11.2012 is cancelled and the AO is directed to make fresh assessment of the total income of the assessee for the said assessment year." 2.2 Before us, the ld. Authorized Representative for the assessee submitted that this issue is squarely covered in favour of the assessee by the order of Hon'ble Karnataka High Court in the case of Tumkur Merchants Souharda Credit Cooperative Ltd vs. ITO, reported in [2015] 55 taxmann.com 447 (Karnataka), wherein in similar set of facts, the Hon'ble Karnataka ....