TaxTMI 
TaxTMI 
2021 (9) TMI 1329
X X X X Extracts X X X X
X X X X Extracts X X X X
....ioner of Income Tax (Appeals) [CIT(A)] erred on facts and circumstances of the case and in law by confirming the Assessment order passed by the learned Assessing Officer (AO). 2. The learned CIT(A) has erred in confirming the order of the learned AO who has made the disallowance of deduction under section 80P of the Income Tax Act, of Rs. 25,10,956 treating the Appellant as a co-operative bank though the Appellant is only a co-operative society. 3. The learned CIT(A) has erred in confirming the order of the learned AO who has levied interest under section 234B and 234C of the Act though the same should not have been levied in the present situation. That the Appellant craves to leave to add to and / or to alter, am....
X X X X Extracts X X X X
X X X X Extracts X X X X
....Sangha Niyamitha in ITA No.5006/2013 (judgment dated 05.02.2014), was rejected by the Assessing Officer by observing as under:- "4. In response to the above, the AR appeared on 28.11.2017 and relied on the Hon'ble jurisdictional high Court's decision in the case of CIT vs. Sri Biluru Gurubasava Pattina Sahakari Sangha Niyamitha, Bagalkot in ITA No.5006/2013 decided on 05.02.2014. 4.1 However, with due respect to the higher judicial forum it is submitted that the decision of jurisdictional Hon'ble High Court of Karnataka showing the deduction claimed u/s 80P in the case of Sri Biluru Gurubasava Pattina Sahakari Sangha Niyamitha, Bagalkot (supra) has not been accepted by the revenue and an SLP has been filed before the Hon'b....
X X X X Extracts X X X X
X X X X Extracts X X X X
....s only registered under the Karnataka Souhardha Sahakari Act, 1997, and therefore, was not a cooperative society within the purview of section 2(19) of the I.T.Act. The Hon'ble Karnataka High Court in the case of M/s.Swabhimani Souharda Credit Co-operative Ltd. (supra) had decided an identical issue and held that the entities registered under the Karnataka Souharda Sahakari Act, 1997, fit into the definite term "Co-operative Society". The relevant finding the Hon'ble Karnataka High Court reads as follow:- "In the above circumstances, these writ petitions succeed; a declaration is made to the effect that the entities registered under the Karnataka Souharda Sahakari Act, 1997 fit into the definition of "cooperative society" as enacte....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... beginning of mankind the concept of 'co-operation' has been the foundation for harmonious existence In India, the Co-operative Societies Act 1912 regulated formation, management, winding up and other supervision by the Government etc. This Act became the model for the provincial governments to form their own Cooperative Acts. Post Independence, various state governments framed their own independent Cooperative Acts and the Central Government its Multi-State Cooperative Act. Accordingly, Karnataka State Cooperative Societies Act, 1959 (KSCS Act, 1959) regulates Co-operative societies in the state of Karnataka. A Panchayat, a Cooperative society and a School for every village were considered as the three pillars of the integrated community d....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ttee 'Souharda Samvardhana Samithi' under the chairmanship of Justice Rama Jois came into existence. It was due to the combined efforts of Sahakara Bharathi Karnataka and Souharda Samvardhana Samithi, "The Karnataka Souharda Sahakari Act-1997 (KSSA, 1997)" was passed in the legislature. With the consent of The President of India, it was enforced from January 2001. Preamble to the Act reads thus:- "An Act to provide for recognition, encouragement and voluntary formation of Co-operatives based on self-help, mutual aid, wholly owned, managed and controlled by members as accountable, competitive, selfreliant and economic enterprises guided by co-operative principles and matters connected therewith; WHEREAS it is expedient to provide fo....