2019 (5) TMI 1052

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....n 26.09.2014 declaring NIL income, after claiming deduction of Rs. 39,22,577/- under section 80P(2)(a)(i) of the Income Tax Act, 1961 (in short 'the Act') on account of interest earned on deposits with Banks. The case was taken up for scrutiny and the order of assessment was concluded under section 143(3) of the Act vide order dated 26.12.2016, wherein the assessee's income was determined at Rs. 39,22,577/-; in view of the AO disallowing the assessee's claim for deduction under section 80P(2)(a)(i) of the Act. On appeal, the assessee was allowed partial relief by the CIT(A), Davangere, vide the impugned order dated 22.11.2018. 3.1 Aggrieved by the order of CIT(A), Davangere dated 22.11.2018 for Assessment Year 2014-15, the assessee has pre....

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....in respect of the assessee's claim for being allowed deduction under section 80P(2)(a)(i) of the Act in respect of interest income earned on deposits with banks. The learned AR submitted that the above issue for consideration in this appeal is covered by the decision of the ITAT-Bangalore Bench in the assessee's own case for Assessment Year 2009-10 and 2012-13, wherein vide order in ITA Nos. 2793 and 2794/Bang/2018 dated 25.01.2019, the Tribunal set aside the matter to the file of the Assessing Officer (AO) for de novo adjudication after examining the facts of the case in the light of the judgments of the Hon'ble Apex Court in the case of the Totagars Co-operatives Sale Society Ltd., (83 taxmann.com 140) and of the Hon'ble Karnataka High Co....

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....on'ble Court was considering a case relating to Assessment Years 2007-2008 to 2011- 2012. In case decided by the Hon'ble Supreme Court in the case of the very same Assessee, the Assessment years involved was AY 1991-92 to 19992000. The nature of interest income for all the AYs was identical. The bone of contention of the Assessee in AY 2007-08 to 2011-12 was that the deduction under Section 80P(2) of the Act is claimed by the respondent-assessee under Section 80P(2)(d) of the Act and not under Section 80P(2)(a) of the Act which was the claim in AY 1991-92 to 1999-2000. The reason given by the Assessee was that in AY 2007-08 to 2011-12 investments and deposits after the Supreme Court's decision against the assessee in Totgar'....