TaxTMI 
TaxTMI 
2017 (12) TMI 1869
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....2008-09, 2009-10 and 2010-11 by way of a common order and rest by separate orders. 2. The assessee has raised following grounds of appeal for assessment year 2008-09. :- "1. The Learned CIT[A] erred in CONFIRMING reopening the assessment u/s 147 of the Act for assessing dividend income. All the facts in connection with dividend income were before the assessing officer. The reopening of the assessment is neither justified on facts nor justified in law. 2. Without prejudice to ground no. 1, the addition of Rs. 1,08,744/- in the total income on account of dividend from Rajkot Nagrik Sahkari Bank is unwarranted and unjustified. 3. Without prejudice to ground no. 1 & 2, the Assessing Officer has not disposed off the....
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.... CIT(A). The ld. CIT(A) has sustained the addition made by the assessing officer by observing as under:- "5.0 Decision: - 5.3 The second ground of appeal is regarding addition of Rs. 1,08, 744/- on account of dividend income. The appellant has received the dividend income of Rs. 7,50,130/- from Rajkot Nagrik Sahkari Bank which is claimed as exempted income. The Assessing Officer has held that the Rajkot Nagrik Sahkari Bank is not a limited company and hence, not subject to dividend transaction tax. The dividend income received by the appellant is neither exempted u/s. 10(34), r.w.s. 115-O nor subject to double taxation in the hands of the \ appellant. The appellant has taken the plea that the dividend income should be trea....
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....der. The ground of appeal is dismissed for all the assessment years of 2008- 09, 2009-10 and 2010-11." 6. We have heard the rival contentions of both the sides and perused the material on record carefully. We observed that according to the provision of section 10(34) of the act the income received by way of dividend is exempted if dividend distribution tax has been paid as per the provision of section 115-0 of the acts. We have further observed that Rajkot Nagrik Sahkari Bank being not a company is not subject to payment of dividend distribution tax . The dividend income is exempt as per provision of section 10(34) of the act as referred u/s. 115-O of the IT. Act. The provisions of section 10(34) are reproduced as under :- 10(34....
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....tself. Neither the appellant has objected to the reopening of the assessment nor furnished any documentary evidences for objection to the reasons recorded by the A.O. for reopening of the assessment during the course of assessment proceedings. The appellant has not furnished full and true particulars at the time of original assessment as regards to the nature of 'dividend income' in terms how the dividend income is exempted. When it has come to the knowledge of the Assessing officer that the company from which the appellant received said dividend income is not a registered company but rather an AOP and thus formed an opinion that the income to that extent escaped assessment. At the stage of original assessment proceedings u/s. 143(3), t....
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.... AOP which is not subject to payment of dividend distribution tax according to provision of section 115-O are not available. The assessee has not provided sufficient details which could have demonstrated the actual nature of the dividend income received by the assessee. Therefore, to examine the issue of availability of exemption on dividend income the case of the assessee was reopened u/s 147 of the act. Consequently during the reassessment proceedings the claim of the assessee that dividend income was exempt as per section 10(34) of the act was found to be invalid. Therefore, after considering the above facts and material on record, we are inclined with the decision of the Ld. CIT(A). Therefore, this ground of appeal of the assessee is al....