TaxTMI 
TaxTMI 
2025 (9) TMI 1307
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....edings under Section 143(3) r.w.s. 144A of the Income Tax Act, 1961 (hereinafter referred to as 'the Act'). 2. There was a delay of 541 days in filing of this appeal. The assessee has filed an affidavit signed by Sh. Pathik Mehta, Secretary of the assessee society. It has been explained that the assessee had filed appeal for the A.Y. 2018-19 and A.Y. 2020-21 with the Ld. CIT(A), NFAC, the orders for which were passed on the same day i.e. 13.10.2023. However, the assessee had received only one appellate order for A.Y. 2018-19 through e-mail and no order for A.Y. 2020-21 was received. As a result, the assessee was not aware of the order of the Ld. CIT(A) for the A.Y. 2020-21. It was only through the adjustment of refund by the Department w....
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....n 16.09.2022 at total income of Rs. 39,94,690/-. 4. Aggrieved with the order of the Assessing Officer, the assessee had filed an appeal before the First Appellate Authority which was decided by the Ld. CIT(A) vide the impugned order and the appeal of the assessee was partly allowed. 5. Now the assessee is in second appeal before us. The following grounds have been taken in this appeal: - "1. The Ld. CIT (A)-NFAC erred on facts and in law in dismissing appeal of the appellant without appreciating that income of the appellant in the year under consideration was Rs. 14,58,480/- only against which Assessing Officer determined income at Rs. 39,94,690/- by ignoring the 'real income' which alone is liable to be taxed, even if su....
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....s and cannot be claimed by its members under any circumstances. According to the Ld. Counsel, the basic purpose of the assessee Co-operative Society is to maintain the property of the members of the Society for which the assessee Society derived funds from various sources. He explained that the income earned by way of interest on bank FDRs was applied to maintain the property of Venus Parkland and the surplus of Rs. 14,58,480/- as per Profit & Loss account was already offered for tax. Under the circumstances, there was no justice for disallowing the interest on Bank FDRs separately. He further submitted that the issue of set-off of maintenance expenses of the Society with interest on FDR was already adjudicated by this Tribunal in A.Y. 2018....
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....ave been spent for the maintenance and up-keepment of the residential premises of 'Venus Parkland'. Thus the interest income earned from fixed deposits is directly linked with the activity of maintenance of the Society. Further this interest income certainly reducing the burden of contribution for maintenance by the Member of the Society. Therefore, we do not find any justification by the Lower Authorities denying the benefit to the assessee simply on the ground that the assessee shown the Bank interest income under "other sources". Therefore the assessee Society has rightly set off the interest income against the income of the assessee Society. Thus the addition made on this account is liable to be deleted. This view of ours is sup....