G2254 SEEVADI PACCS,KANCHIPURAM V. ITO, NCW-22(1), CHENNAI

ITA 257/CHNY/2025

AI Insights

The case involves Seevadi Primary Agricultural Co-operative Credit Society, which appealed against the order of the Additional/Joint Commissioner of Income Tax(A)-1, Nashik, which denied them a deduction under section 80P of the Income Tax Act, 1961 for the assessment year 2017-18. The denial was based on the society's failure to file their return of income within the prescribed due date under section 139(1) of the Act. The First Appellate Authority upheld the AO's decision. However, the society's delay in filing was later condoned by the CCIT, Chennai-1, leading to the current appeal before the Tribunal, which resulted in the matter being remanded back to the AO for re-examination.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 36105 (ITAT-CHENNAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-03-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: D
• Assessment Year: 2018-2019
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: A. SASIKUMAR
• Assessee Lawyers: N.V.KRISHNAN
• Section: 250

Judgement Text

"आयकर अपीलȣय अͬधकरण, ‘डी ’ Ûयायपीठ, चेÛन IN THE INCOME TAX APPELLATE TRIBUNAL ‘D’ BENCH, CHENNAI Įी जॉज[ जॉज[ क े, उपाÚय¢ एवं Įी एस.आर.रघुनाथा, लेखा सदèय क े सम¢ BEFORE SHRI GEORGE GEORGE K, VICE PRESIDENT AND SHRI S.R. RAGHUNATHA, ACCOUNTANT MEMBER आयकर अपील सं./ITA No.: 257/CHNY/2025 िनधाᭅरण वषᭅ/Assessment Year: 2018-19 G2254 Seevadi Primary Agricultural Co-operative Credit Society, Seevadi Village and Post Cheyyur Taluk Kanchipuram-603 312. PAN: AABAG-2457-R Vs. Income Tax Officer, Non-Corporate Ward-22(1) Tambaram, Chennai. (अपीलाथᱮ/Appellant) (ᮧ᭜यथᱮ/Respondent) अपीलाथᱮ कᳱ ओर से/Appellant by : Mr. N.V.Krishnan, Advocate ᮧ᭜यथᱮ कᳱ ओर से/Respondent by : Mr. A.Sasikumar, CIT सुनवाई कᳱ तारीख/Date of Hearing : 18.03.2025 घोषणा कᳱ तारीख/Date of Pronouncement : 18.03.2025 आदेश /O R D E R PER GEORGE GEORGE K, VICE PRESIDENT: This appeal at the instance of the assessee is directed against Addl/Joint Commissioner of Income Tax(A)-1, Nashik, order dated 30.12.2024, passed under section 250 of the Income Tax Act, 1961 (hereinafter called ‘the Act’). The relevant Assessment Year is 2017- 18. 2. Brief facts of the case are as follows:- - 2 - ITA No.257//CHNY/2024 The assessee is a Primary Agricultural Co-operative Credit Society formed under Tamil Nadu Co-operative Societies Act, 1983. The assessee has not filed return of income within the prescribed due date u/s.139(1) of the Act for the impugned assessment year. During the course of assessment proceedings, the assessee claimed entire income earned from its business activity as deduction u/s.80P. However, the AO denied claim of deduction u/s.80P of the Act for the reason that assessee did not file return of income within the due date prescribed u/s.139(1) of the Act. 3. Aggrieved by the order of assessment, the assessee preferred an appeal before First Appellate Authority. However, the CIT(A) has confirmed the order of the AO. 4. Aggrieved by the order of CIT(A), the assessee has filed present appeal before the Tribunal. The learned AR for the assessee furnished a copy of order passed by CCIT., Chennai-1 dated 23.08.2024 which is placed at page 8 of the paper book. It is claimed by the learned AR that since delay in filing of return of income of the assessee has been condoned by the CCIT, Chennai-1 vide order dated 23.08.2024, the matter may be restored to the AO to grant deduction claimed u/s.80P of the Act. 5. The ld.DR supported the orders of CIT(A). - 3 - ITA No.257//CHNY/2024 6. We have heard rival submissions and perused the material on record. The AO has denied deduction claimed by the assessee u/s.80P for the reason that assessee society did not file return of income within the due date prescribed u/s.139(1) of the Act. It was claimed by the assessee that audit report of Co-operative Department of Tamilnadu Government was completed only on 14.03.2019 and thus, there was delay in filing return of income. The learned AR has now filed copy of order of the CCIT, Chennai-1 dated 23.08.2024 condoning the delay in filing of return of income for assessment year 2018-19. Therefore, we deem it appropriate to restore the matter back to the files of AO. The AO is directed to examine the same and grant deduction u/s.80P in accordance with law. 7. In the result, appeal filed by the assessee is allowed for statistical purposes. Order pronounced in the open court on 18th of March, 2025. Sd/- Sd/- (एस.आर. रघुनाथा) (S.R. RAGHUNATHA) लेखा सदèय/ACCOUNTANT MEMBER (जॉज[ जॉज[ क े) (GEORGE GEORGE K) उपाÚय¢ /VICE PRESIDENT चेÛनई/Chennai, Ǒदनांक/Date: 18.03. 2025 DS - 4 - ITA No.257//CHNY/2024 आदेश कȧ ĤǓतͧलͪप अĒेͪषत/Copy to: 1. अपीलाथȸ/Appellant 2. Ĥ×यथȸ/Respondent 3. आयकर आयुÈत /CIT, Chennai/Salem 4. ͪवभागीय ĤǓतǓनͬध/DR 5. गाड[ फाईल/GF. "