TaxTMI 
TaxTMI 
2025 (6) TMI 484
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....ct, 1961 is opposed to law and contrary to the facts of the case and against equity and principles of natural justice in respect of not providing for deduction u/s 80P(2)(a)(i) of the Act in respect of interest on savings account with ICICI amounting to Rs. 1,18,632/- and miscellaneous income of Rs. 26,65,254/-. 2. a) The CIT (Appeals), NFAC while passing the order has only considered the interest on investment amounting to Rs. 3,32,09,036/- from Thrissur District Co-operative Bank and allowed it under 80P(2)(d) but not allowed deduction u/s 80P(2)(a)(i) in respect of the interest on savings account with ICICI Bank for Rs. 1,18,632/-. The appellant has claimed deduction u/s 80 P(2)(a)(i) of the Act on the interest received from sav....
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....activity of the appellant, whereas the appellant society has incurred Rs. 12,17,639.27/- as ambulance expenses attributable to earn ambulance income and thus the net income from ambulance service is Rs. 96,251.37/-. This being any other income which is allowable u/s 80P(2) (c) (ii) upto Rs. 50,000/- and thus taxable value may be restricted to Rs. 46,251.37/-. 3. The order of the CIT(Appeals), NFAC u/s 250 of the Act disallowing deduction u/s 80P(2)(a)(i) in respect of interest from savings account with ICICI Bank Rs. 1,18,632/- and miscellaneous income amounting to Rs. 26,65,254/- may be modified in the following manner :- a) To treat the interest from savings account with ICICI Bank amounting to Rs. 1,18,632/- as part of ....
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....nd other financial institutions and also received miscellaneous incomes and claimed the entire income as eligible for deduction u/s. 80P(2) of the Act. The AO not accepted the claim made by the assessee and denied the deduction claimed by the assessee in respect of the interest amount received from the Thrissur District Co-operative Bank Ltd. and also the interest income received from the ICICI Bank. The AO also disallowed the miscellaneous income on the ground that the same are not earned during the course of the business and treated the said incomes as income from other sources. As against the said order, the assessee filed an appeal before the Ld.CIT(A). 3. The Ld.CIT(A) had allowed the interest income received from the Thrissur Distr....
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....r as part of loan procedures and therefore the said incomes are only the business incomes eligible for deduction u/s. 80P(2)(a)(i) of the Act. Insofar as the income received from the ambulance, the service is provided by the assessee as part of the social security activity for which the assessee had incurred an expenditure and therefore if at all any liability is to be fixed, the same should be on the net profit earned by the assessee through the ambulance service and not the entire income. 5. The Ld.DR relied on the orders of the lower authorities and submitted that the appeal may be dismissed. 6. We have heard the arguments of both sides and perused the materials available on record. 7. The first dispute raised by the assessee in....
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....d be a business income and eligible for deduction u/s. 80P(2)(a)(i) of the Act. We, therefore, set aside the finding given by the Ld.CIT(A) insofar as this portion of the miscellaneous income is concerned and remitted the matter to the file of the AO for verifying the records and satisfy himself about the genuineness of the claim made by the assessee and if the assessee was able to prove that the miscellaneous income was received from the members for granting the credit facilities, allow the said claim u/s. 80P(2)(a)(i) of the Act. 9. Insofar as the printing charges and courier service charges, we are remitting this issue also to AO for considering the issue afresh and to decide the same in accordance with the earlier directions given ab....