2012 (8) TMI 1172

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....e firm. 2. During hearing, we have heard Shri Keshave Saxena, ld. CIT(DR) and Shri Ajay K. Chhajed, ld. Counsel for the assessee. The crux of the arguments on behalf of the Revenue is that the present issue is covered against the assessee by the order of the Tribunal in the case of M/s. Vidisha Bhopal Kshetriya Gramin Bank, Vidisha (ITA Nos.215 & 216/Ind/2011, AYs 2007-08 & 2008-09, order dated 18.6.2012). The learned CIT DR also contended that after insertion of sub-section (4) of section 80P of the Act, with effect from 1.4.2007, the deduction is only available to primary agricultural credit society and primary cooperative agricultural and rural development bank by further submitting that deduction u/s 80P of the Act is not available to....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....es that a cooperative society engaged in carrying on the business of banking or providing credit facilities to its members is eligible for deduction u/s 80P(2). Its shows that a society carrying on either business of banking or providing credit facilities is entitled for deduction. Since the appellant society is providing credit facilities to its members, it is entitled deduction u/s 80P(2). The AO is directed to allow deduction u/s 80P(2) at Rs. 18435916/-. This ground of appeal is allowed." 2.4 If the assertion made by the learned respective counsel, facts available on record, observations made in the assessment order and the conclusion drawn in the impugned order are kept in juxtaposition and analysed, there are certain undisputed fact....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....en on retirement of such members, there are certain restrictions. The assessee as on 31.9.2008 declared income of Rs. 38,560/- after claiming deduction of Rs. 1,84,35,916/- u/s 80P of the Act. Pursuant to various notices, the assessee submitted the required details, explanations, documents and evidences as is evident from the assessment order. If these facts are analysed with the provisions of section 80P(2)(a)(i) of the Act, which speaks about deduction in respect of income of cooperative societies. As per sub-section (1) of section 80P of the Act, where, in the case of an assessee, being a cooperative society, the gross total income includes any income referred to in sub-section (2), there shall be deducted in accordance with and subject ....