TaxTMI 
TaxTMI 
2024 (9) TMI 1965
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....r) under section 250 of the Income Tax Act, 1961 (in short 'the Act') for the A.Y. 2017-18. 2. In the instant case, the Assessee being a co-operative society claimed a deduction of Rs.18,98,601/- u/s 80P(2)(d) of the Act (under chapter VI-A of the Act) on account of interest income earned from deposits in co-operative banks which was disallowed by the Assessing Officer (AO) vide order dated 09.12.2019 and added back to the income of the Assessee. 3. The Assessee, being aggrieved, challenged the aforesaid addition before the Ld. Addl./JCIT Commissioner, who vide impugned order, upheld the aforesaid addition made on account of disallowance of addition u/s 80P(20(d) of the Act. 4. The Assessee being aggrieved with the impugned....
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....nch of the Tribunal in the Assessee's own case for the A.Y. 2021-22 in ITA No.1362/M/2024 has elaborately discussed the identical facts of the case as well as the law applicable thereto as also involved in this case and ultimately allowed the deduction claimed on account of interest income received qua saving bank accounts maintained with co- operative banks u/s 80P(20(d) of the Act, by holding as under: "6. We have considered the submissions of both sides and perused the material available on record. In the present case, it is undisputed that the assessee is a Co-operative Housing Society, and during the year under consideration, claimed deduction under section 80P(2)(d) of the Act with respect to interest income total amounti....
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.... conditions are required to be cumulatively satisfied- (i) income by way of interest or dividend is earned by the Co-operative Society from the investments, and (ii) such investments should be with any other Co-operative Society. 9. In the present case, there is no dispute that the assessee is a Co-Operative Housing Society. Thus, if any income as referred to in sub-section (2) to section 80P of the Act is included in the gross total income of the assessee, the same shall be allowed as a deduction. At this stage, it is pertinent to note that since the assessee is registered under the Maharashtra Co-operative Societies Act, 1960, it is required to invest or deposit its funds in one of the modes provided in section 70 of the aforesai....
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....rative House Building Societies Ltd Vs. ITO, [1982] 2 ITD 617 (Chd.), after considering the meaning of the word "investment" held that the section 80P(2)(d) of the Act also covers interest income from saving accounts. The relevant findings of the Co-ordinate Bench, in the aforesaid decision, are reproduced as follows: - "4. We have heard the parties and we are inclined to accept the claim of the assessee for the following reasons. 5. The fact that the assessee as well as the bank with which the deposits were placed are co-operative societies is not controverted. Insofar as the meaning of the word 'investment' is concerned, we do not have any help from the definitions given in the statute itself. The learned counsel....
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....he same on the basis that the same is very old, without distinguishing the same on facts or on law. Further, we find no merits in the reliance placed by the learned JCIT(A) upon the provisions of section 194A of the Act, in order to hold that the provisions of the Act differentiate interest on investment and interest on saving accounts, as the provisions of section 194A of the Act does not create any such distinction, and requires TDS to be deducted at the time of payment/credit of interest to the account of the payee, provided other conditions as laid down in the section are satisfied. Therefore, we are of the considered view that the assessee is also entitled to claim deduction under section 80P(2)(d) of the Act on the interest income rec....