TaxTMI 
TaxTMI 
2018 (1) TMI 1593
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....ry agricultural credit society, registered under the Kerala Co-operative Societies Act, 1969. For the assessment year 2014-2015, the return of income was filed by the assessee on 19.03.2015 declaring `nil' income after claiming deduction u/s 80P of the Income-tax Act, 1961. The assessment u/s 143(3) of the I.T.Act, was completed vide order dated 27.12.2016, wherein the total income was computed at Rs. 2,76,70,369 consisting of the following - (i) Income under the head business or Profession. Rs. 55,85,680 (ii) Income from other sources Rs. 2,20,84,676 The Assessing Officer denied deduction u/s 80P of the Income-tax Act. The reasoning of the Assessing Officer to deny the benefit of deduction u/s 80P(2)(a)(i) of the I.T.Act was t....
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....he Assessing Officer to the extent of Rs. 2,20,84,676/-, is opposed to law, facts and circumstances of the case. 2. The CIT(A) went wrong in denying the claim for exemption/deduction u/s 80P(2)(d) with respect to the interest income earned from deposits with the Trivandrum District Co-operative Bank Ltd., Thiruvananthapuram. 3. It is respectfully submitted that the assessing and Appellate Authorities should have found that the interest income of Rs. 2,20,84,676/- was from the cash reserve maintained by way of deposit with District Co-operative Bank, Thiruvananthapuram, as per Banking Regulation Act, 1949 and as such, the same qualified for deduction u/s 80P(2)(d). 4. The CIT(A) ought to have accepted the law laid down as per the Judgm....
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....ithout prejudice. 8. The appellant humbly prays that the Hon'ble Appellate Tribunal may kindly be pleased to consider the grounds of appeal before the lower Appellate Authority as part of these grounds. 9. The appellant craves leave to file additional grounds in the above appeal. For these and other grounds that may be urged at the time of hearing, the appellant humbly prays that the Hon'ble Income Tax Appellate Tribunal, Cochin Bench, Cochin, may kindly be pleased to set aside the assessment and Appellate Orders as regards the impugned addition and allow the appeal and render justice." 5. The learned Counsel for the assessee submitted that there is no dispute that income of Rs. 2,20,84,676 is to be assessed as `income ....
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....herefrom. Hence, no part of the interest is liable to be assessed." 6. The learned Departmental Representative, on the other hand, supported the orders of the Assessing Officer and the CIT(A). 7. We have heard the rival submission and perused the material on record. The only issue raised for our adjudication is whether a sum of Rs. 2,20,84,676 assessed as `income from other sources' whether is entitled to deduction u/s 80P(2)(d) of the I.T.Act. The assessee in the written submission, submitted that the Trivandrum District Co-operative Bank Limited from whom the assessee had received interest to the tune of Rs. 2,20,84,676 is a Co-operative Society and not a Co-operative Bank. The assessee had submitted a copy of certificate of registratio....