TaxTMI 
TaxTMI 
TaxTMI 
2021 (9) TMI 235
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.... by the cooperative society of Rs. 77,39,885/- under section 80P(2)(a)(i) and the learned First Appellate Authority has erred in confirming the orders of the assessing authority. 2. The learned assessing officer has erred in treating the sum of Rs. 21,88,166/-being the interest received from SCDCC Bank as income from other sources, which the appellant had included under income from business. The assessing officer has erred in not granting the benefit of deduction u/s 80P(2)(d) for the interest received from co-operative banks 3. The assessee society is registered under the Co-operative Societies Act, 1959 and complied with The Karnataka Co-operative Societies Act, 1959, the Karnataka Co-operative Societies Rules, 1960 and bye laws of th....
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....rs as alleged by the assessing officer and confirmed by the learned First Appellate Authority, the profit attributable to such business can only be taxed. Therefore in the case of the appellant if nominal members are not considered as members as alleged by the assessing officer, only such portion of profit attributable to the business with nominal members could be taxed. 6. The appellant has been assessed as a co-operative society and such being the case all benefits available to the appellant as per the provisions of section 80P of the Income Tax Act cannot be denied without a legal provision to do so. The learned First Appellate Authority has erred in not considering this while disposing of the appeal. 7. The appellant craves leave to....
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.... the Act as per the above said decision and accordingly did not allow deduction for interest income u/s 80P(2)(d) and 80P(2)(a)(i) of the Act. The Ld. CIT(A) confirmed the order passed by A.O. 4. The ground nos.1, 6 and 7 urged by the assessee are general in nature. 5. Ground No.3 to 5 relate to deduction claimed u/s 80P(2)(a)(i) of the Act. The LD. A.R. submitted that the entire issue requires re-examination in the light of decision rendered by Hon'ble Supreme Court in the case of Mavilayi Service Co-operative Bank Ltd. and others (2021) 431 ITR 1. He submitted that the coordinate benches has restored an identical issue to the file of the A.O. in many cases for examining the deduction claimed u/s 80P(2)(a)(i) of the Act in the light of d....
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....dentical issue was restored to the file of the A.O. by the coordinate bench in the case of Thannirupantha Primary Agricultural Credit Co-operative Society Ltd. Vs. ITO with the following observations: 9.1 As regards the claim of deduction u/s 80P(2)(d) of the I.T.Act, the Bangalore Bench of the Tribunal in the case of M/s.The Jayanagar Cooperative Society Ltd. (supra), on identical facts, had restored the issue to the files of the A.O. for de novo consideration. The narration of facts, contentions and the findings of the Tribunal in the case of M/s.The Jayanagar Cooperative Society Ltd. (supra) reads as follow:- "4. The issues that arise for consideration in this appeal by the assessee are as to whether the Revenue authorities were just....
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.... Ltd., 230 taxman 309 (Karn), the DR relied on a subsequent decision of the Hon'ble Karnataka High Court in the case of PCIT Vs. Totgars Cooperative Sale Society Ltd., 395 ITR 611 (Karn.). We have carefully gone through the said judgment. The facts of the case before the Hon'ble Karnataka High Court was that the Hon'ble Court was considering a case relating to Assessment Years 2007-08 to 2011-12. In case decided by the Hon'ble Supreme Court in the case of the very same assessee, the Assessment Years involved was Assessment Years 1991-92 to 1999-2000. The nature of interest income for all the Assessment Years 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 ....
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....e decision of the Hon'ble Karnataka High Court in the decision cited by the learned DR. To this extent the decision of the Hon'ble Karnataka High Court in the case of Tumukur Merchants Souharda Co-operative Ltd. (supra) still holds good. Hence, on this aspect, the issue should be restored back to the AO for a fresh decision after examining the facts in the light of these judgment of the Hon'ble Apex Court rendered in the case of The Totgars Co-operative Sale Society Ltd. (supra) and of Hon'ble Karnataka high Court rendered in the case of Tumukur Merchants Souharda Co-operative Ltd. (supra)." 9.2 In the light of the above order of the Tribunal, we deem it appropriate on the facts of the instant case, to restore the issue of....