2019 (3) TMI 726

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....to the bank as per the mercantile system of accounting followed by it. 2. On the facts and circumstances of the case and in law, the Ld. CIT(A) has erred in failing to appreciate the fact that the assessee is a cooperative bank and not a scheduled bank and that the provisions of section 43D are applicable to the financial institutions and not to cooperative societies? 3. For this and such other reasons as may be urged at the time of hearing, the order of the CIT(A) be vacated and that of the Assessing Officer be restored. 4. The appellant craves, leave to add, amend, alter or delete any of the above grounds of appeal during the course of appellate proceedings before the Hon'ble Tribunal." 2. At the time of hearing the assessee wa....

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....o show the accrued interest income when it had accrued to the assessee under the mercantile system and exigible to tax under the Act. 3. The judgement of Apex court in the case of Southern Technologies Vs. CIT wherein it was held that the RBI guidelines or prudential norms issued by RBI are not intended to regulate the income tax laws. Hence for calculating the interest u/s.43D calculation of Rule 6EA had to be made. 4. Reliance is also placed in the case of GIC Housing Finance Ltd. Vs. Addl. CIT, Range 2(1) (2011) 45 SOT 318 ( Mum) wherein the contention of the AO was rejected. 5. The case laws relied upon by the assessee is distinguishable on the facts as it is in the case of NBFC and not Banks and the department had not accepted by....