TaxTMI 
TaxTMI 
2026 (6) TMI 1450
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....ent Unit Income Tax Department. The ground of appeal raised by the assessee are as under: "1. Disallowance of deduction u/s 80P(2)(d) - Rs.3,12,310 1.1 On the facts and in the circumstances of the case and in law, the Learned CIT(A), NFAC erred in confirming the disallowance of deduction u/s 80P(2)(d) amounting to Rs.3,12,310 being interest earned from investments/deposits made with co-operative banks. 1.2 The Learned CIT(A) failed to appreciate that co-operative banks are also cooperative societies, and therefore Interest income earned from them squarely qualifies for deduction u/s 80P(2)(d). 1.3 The Learned CIT(A) erred in relying upon the decision of the Hon'ble Supreme Court in Totgars Co-operativ....
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...., modify or delete any of the above grounds of appeal at or before the time of hearing." 2. The brief facts of the case are that the assessee is a Cooperative Credit Society in the status of AOP had undertook a transaction of purchase of immovable property for Rs. 1,21,00,000/- and have made cash deposits of Rs. 35,93,000/- during the year under consideration. Consequently, the case of assessee was re-opened u/s. 147. It is noticed by the revenue that the assessee has not filed its return of income for assessment year 2018-19. However, in response to notice u/s. 148 the return of income was filed on 30.04.2022 declaring total income at nil. During the assessment proceedings certain issues were raised by the Assessing Officer which were r....
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....this issue has been decided by various decisions made by ITAT, Mumbai. The Ld. AR placed his reliance on the following decisions: 1. ITA No. 628/Mum/2024; A.Y. 2017-18; Mumbai Postal Employees Co-operative Credit Society Limited Vs. ITO - 17(2)(4) dated 29.05.2024. 2. ITA No. 6662/Mum/2024; A.Y. 2015-16; Dreams CHS Association Ltd. Vs. ITO dated 02.04.2025. 3. ITA No. 806/Mum/2024; A.Y. 2020-21; ITO - 30(1)(1) Vs. Tifr Emp Co-op. Cr. Soc. Ltd. dated 28.05.2024. 4. ITA No. 3155/Mum/2019; A.Y. 2014-15; M/s. Solitaire CHS Ltd. Vs. PCIT - 26 dated 26.11.2019. Based on aforesaid decisions, it was the submission that the interest received by the assessee cooperative society on Fixed Deposits in Cooperative B....
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.... (ii) M/s C. Green Cooperative Housing and Society Ltd. Vs. ITO-21(3)(2), Mumbai (ITA No. 1343/Mum/2017, dated 31.03.2017 (iii) Marvwanjee Cama Park Cooperative Housing Society Ltd. Vs. ITO-Range-20(2)(2), Mumbai (ITA No. 6139/Mum/2014, dated 27.09.2017 (iv) Kaliandas Udyog Bhavan Pemises Co-op. Society Ltd. Vs. ITO, 21(2) (1), Mumbai. We further find that the Hon'ble High Court of Karnataka in the case of Pr. Commissioner of Income Tax and Anr. Vs. Totagars Cooperative Sale Society (2017) 392 ITR 74 (Karn) and Hon'ble High Court of Gujarat in the case of State Bank Of India Vs. CIT (2016) 389 ITR 578 (Guj), had held, that the interest income earned by the assessee on its investments with a cooperative ....
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....e High Court of Gujarat in the case of State Bank of India Vs. CIT (2016) 389 ITR 578 (Guj), had observed, that the interest income earned by a co-operative society on its investments held with a co-operative bank would be eligible for claim of deduction under Sec 80P(2)(d) of the Act. We find that as held by the Hon'ble High Court of Bombay in the case of K. Subramanian and Anr. Vs. Siemens India Ltd. and Anr (1985) 156 ITR 11 (Bom), where there is a conflict between the decisions of non-jurisdictional High Court's, then a view which is in favour of the assessee is to be preferred as against that taken against him. Accordingly, taking support from the aforesaid judicial pronouncement of the Hon'ble High Court of jurisdiction, w....