TaxTMI 
TaxTMI 
2023 (2) TMI 512
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....ing grounds of appeal: "1. On the facts and circumstances of the case and as per law, the ld. CIT(A) was not justified in confirming that the appellant cooperative credit society is not entitled to deduction U/s 80P of the Act. 2. The appellant craves leave to add, alter or vary any of the grounds of appeal." 2. At the outset of hearing, the learned Authorised Representative (ld. AR) of the Assessee submits that the grounds of appeal raised by the assessee is covered by the decision of jurisdictional as well as other Hon'ble High Courts and various benches of Tribunal wherein it has been held that interest earned by Cooperative Society from Cooperative Bank, which are primarily Cooperative Society is exempt under section 80P(2)(d).....
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....nd that during the assessment, the Assessing Officer noted that the assessee has claimed deduction under Section 80P(2) of the Act of Rs. 47,39,271/-. The Assessing officer issued show cause notice to justify such deduction. The assessee filed its reply alongiwth certain information and documents. The assessee was asked to furnish audit report, balance sheet and Profit & Loss Account (P&L Account) with computation of income. The assessee filed its response to said show cause notice. In the reply, the assessee stated that Rs. 47,39,271/- was interest income received on FDRs with Cooperative bank and the assessee is eligible for deduction under Section 80P of the Act within the purview of this Section. The reply of assessee was not accepted b....
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....have also deliberated on the written submission filed by learned AR of the assessee and various case laws relied by him during his submission. We have also gone through the various documentary evidences filed in the form of paper book (PB) by learned AR of the assessee. We have noted that during the assessment the Assessing Officer vide notice under section 143(2)/142(1) of the Act dated 31-8-2015 and 13-4-2016. The assessee filed its reply through its CA (AR) and furnished required details and after examining the issue allowed the deductions under section 80P(2)(d) as discussed in para 4 of the assessment order. The Assessing Officer passed assessment order on 18-10-2016. 12. The ld. PCIT before passing under section 263 of the Act, iden....
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....ous. 15. The Hon'ble Karnataka High Court in Totagars Cooperative Sales Society (supra) held that for the purpose of section 80P(2)(d) a Co-operative Bank should be considered by a Co-operative Society and interest earned by Co-operative Society from Cooperative Bank would necessarily be deductible under section 80P(1) of the Act. Further, the Hon'ble Jurisdictional High Court in Surat Vankar Sahakari Sangh Ltd. (supra) held that assessee co-operative society is eligible for deduction under section 80P(2)(d) in respect of gross interest received from co-operative bank without adjusting interest paid to said bank. 16. The Co-ordinate Bench of Rajkot Tribunal in Surendarnagar District Cooperative Milk Producer Union Ltd. v. Dy. CI....