TaxTMI 
TaxTMI 
TaxTMI 
2019 (8) TMI 510
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....as co-operative society under the Kerala State Co-operative Societies Act, 1969. The assessment was completed in assessee's case by denying deduction claimed u/s 80P of the I.T.Act. The Assessing Officer for denying the claim of deduction u/s 80P of the I.T.Act, treated the assessee as co-operative bank and not co-operative society. 4. Aggrieved by the order of the assessment, the assessee filed appeal before the first appellate authority. The CIT(A) by following the judgment of the Hon'ble jurisdictional High Court in the case of Chirakkal Service Co-operative Bank Ltd. (384 ITR 490) allowed the claim of deduction u/s 80P of the I.T.Act. 5. Aggrieved by the order of the CIT(A), the Department has filed the present appeal before the Trib....
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....ts of the instant case just in law, when the full bench of the High Court has relied on the aforesaid decision while arriving at the conclusion that the AO need not extend the benefits available, merely looking at the class of the society as per the certificate issued by the registrar? 5. From the table given below, listing the similarities between M/s Citizen Service Co- Operative Society and the assessee, hasn't the CIT(A) erred in relying on the decision ITAT Cochin Bench in the case of M/s Maruthonkara Service Co-Operative Bank Ltd where it has been held that the decision of M/s Citizen Service Co-Operative Society is not applicable to the instant case of the assessee? M/s.Citizen Co-operative Society M/s.Kodur Service Co-opera....
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....a to carry out banking business. The society does not hold any license from Reserve Bank of India to carry out banking business. 6. The learned CIT(A) ought to have appreciated the fact that there is not even a single point that can be projected as a difference between the M/s Citizen Co- Operative Society and our assessee, M/s Kodur Service Co-Operative Bank Ltd. Therefore, the decision of the Apex Court in the case of MIs Citizen Co-Operative Society is squarely applicable in the instant case. 7. Whether, on the facts and circumstances of the case and in law, is the ld CIT(A) justified in holding that the decision of the Apex Court in the case of MIs Citizen Co-Operative Society is not applicable to the facts of the case when our as....
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....co-operative bank as fixed deposit in order to maintain liquidity for a society doing banking activities as per Kerala cooperative societies act. However the investments made by the assessee are much more than the required amount to be deposited in the form of various deposits and shares in Kozhikode district co-operative bank and other co-operative societies. Here, the income is generated from a third party(where the' investments are made) and substantial share of income is generated outside the members. Therefore the mutuality entitled between the contributor and the recipient is lost in such a case. In such a case, as laid down by the Hon'ble Apex Court, the society is not eligible for deduction u/s. 80P. 10. Is the decision of....
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.... the other hand, supported the order of the CIT(A). 7. We have heard the rival submissions and perused the material on record. The Larger Bench of the Hon'ble jurisdictional High Court in the case of The Mavilayi Service Cooperative Bank Ltd. (supra) held that the Assessing Officer has to conduct an inquiry into the factual situation as to the activities of the assessee society to determine the eligibility of deduction u/s 80P of the I.T.Act. It was held by the Hon'ble High Court that the Assessing Officer is not bound by the registration certificate issued by the Registrar of Kerala Co-operative Society classifying the assessee-society as a cooperative society. The Hon'ble High Court held that each assessment year is separate and eligibil....
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....KCS Act and having its area of operation confined to a Village, Panchayat or a Municipality and as such, they are entitled for the benefit of sub-section (4) of Section 80P of the IT Act to ease themselves out from the coverage of Section 80P and that, the authorities under the IT Act cannot probe into any issues or such matters relating to such societies and that, Primary Agricultural Credit Societies registered as such under the KCS Act and classified so, under the Act, including the appellants are entitled to such exemption. 34. In Chirakkal [384 ITR 490] the Division Bench expressed a divergent opinion, without noticing the law laid down in Antony Pattukulangara [2012 (3) KHC 726] and Perinthalmanna [363 ITR 268]. Moreover, the law la....