TaxTMI 
TaxTMI 
2016 (9) TMI 1265
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....assessee's own case. Accordingly, the appeal is being decided. 3. Facts of the case, in brief, are that the assessee is a Cooperative Society registered under the Maharashtra State Cooperative Societies Act engaged in providing credit facilities to its members. It filed its return of income on 29-09-2012 declaring total income of Nil. During the course of assessment proceedings the AO observed that assessee has declared net profit of Rs. 95,00,446/- from gross receipt of Rs. 1,93,55,105 which is adjusted to Rs. 96,25,009/- which is taxable in assessee's hands. He further noted that in earlier years the assessee was held to be not entitled to deduction u/s.80P(2)(a)(vi) of the I.T. Act on the basis of decision of Hon'ble Supreme Court in ....
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....e assessee has filed a return of income declaring total income at NIL on 31.10.2006 for A.Y. 2006-07 after claiming deduction u/s.80P(2)(a)(vi) which was accepted u/s.143(1). Thereafter, the Assessing Officer initiated the proceedings u/s.147 issuing notice u/s.148 on 08.10.2010. 3.1 The Assessing Officer therefore, examined the return of assessee who had claimed deduction of Rs. 36,76,912/- u/s.80P(2)(a)(vi) and disallowed the advertisement expenses of Rs. 1,68,600/-. The matter was carried before the first appellate authority, wherein the relief has been granted to the assessee on both accounts. The same has been opposed before us on behalf of revenue, inter alia submitted that the CIT(A) was not justified in allowing deduction u....
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....erala State Co-operative Marketing Federation Ltd & Others Vs. CIT (231 ITR 841 (SC). We accordingly, uphold the order of the CIT(A) in allowing the claim of deduction u/s 80P(2)(a)(vi) of the Act." 3.2 Nothing contrary was brought to our knowledge on behalf of revenue. So, we are not inclined to interfere with the findings of CIT(A) who has allowed the deduction u/s.80P(2)(a)(vi). We uphold the same. Similar issue arose in A.Y. 2008-09 and 2009-10. Facts being similar, so following the same reasoning, we uphold the order of CIT(A) on the issue for the reasons stated above. 4. Next issue in A.Y. 2006-07 is with regard to allowability of advertisement expenses of Rs. 1,68,600/-. The Assessing Officer disallowed the expenditure in the a....
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.... business purpose. It is not a case of the Assessing Officer that the expenditure has not been incurred. Since the assessee has established the expenditure incurred on account of commercial expediency, so the commercial expediency is to be viewed from the view point of businessman / assessee. The facts on record indicate the impugned expenditure is on account of public visits of State ministers, local elected representatives and other dignitaries to the city of Nashik and the premises of society, who have helped the assessee in getting more contracts for labour, therefore, commercial expediency established. In the facts and circumstances, the expenditure was rightly made by the assessee for business purpose and the same was rightly directed....
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....tances of the case, the Ld. CIT(A)-I, Nashik was justified in holding that the assessee was engaged in the collective disposal of the labour of its members when there is no individual who is member of the Assessee society. 3. Whether in the facts and in the circumstances of the case the learned CIT(A)-I, Nashik was justified in holding that Advertisement expenses of Rs,I,75,303/- are incurred mainly for welcome/felicitation of Ministers, Officials at secretariat and local leaders etc. All these people are helpful and instrumental in general progress and advancements of the purposes of federation. 4. The order of the Ld. CIT(A) be cancelled and that of the A.O. be restored. 5. The appellant craves leave to add/ alt....