Hebbal Urban Credit Souharda Sahakari Niyamit., Belagavi V. The Income Tax Officer Ward-1(1), Belagavi., Belagavi

ITA 1/PAN/2017

• Counselvise Citation: [2017] 128 COUNSELVISE.COM (IT) 7499 (ITAT-PANAJI)
• Duration Of Justice: 2 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-03-2017
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2012-2013
• Appeal Filed On: 02-01-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SHIVENDRA GUPTA LD
• Assessee Lawyers: CHANNABASAVRAJ BOLMAL

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PANAJI BENCH, PANAJI SINGLE MEMBER CASE BEFORE SHRI GEORGE MATHAN, HONBLE JUDICIAL MEMBER ITA NO. 01 /PAN/201 7 (ASST. YEAR : 201 2 1 3 ) HEBBAL URBAN CREDIT SOUHARDA SAHAKARI NIYAMIT AT POST : HEBBAL TAL : HUKKERI DIST: BELAGAVI V. INCOME TAX OFFICER WARD 1(1) BELAGAVI PAN NO. AAAAH 0540 H (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI CHANNABASAVRAJ BOLMAL - CA DEPARTMENT BY : SHRI SHIVENDRA GUPTA LD. DR DATE OF HEARING : 1 5 /03/ 2017 DATE OF PRONOUNCEMENT : 1 5 /0 3 /2017 . O R D E R PER GEORGE MATHAN, JUDICIAL MEMBER 1 . THE APPEAL FILED BY THE ASSESSEE AGAINST THE ORDER OF THE CIT(A) BELGA VI IN APPEAL NO ITA NO.389/BGM/2014 - 15 DATED 20.10.2016 FOR THE ASSESSMENT YEAR 2012 13. 2 . SHRI CHANNABASAVRAJ BOLMAL , CA REPRESENTED ON BEHALF OF THE ASSESSEE, SHRI SHIVENDRA GUPTA REPRESENTED ON BEHALF OF THE REVENUE. 3 . IT WAS SUBMISSION BY THE LEARNED AUTHORIZED REPR ESENTATIVE OF THE ASSESSEE THAT THE ONLY ISSUE IN THE ASSESSEE APPEAL WAS AGAINST THE ACTION OF THE LEARNED CIT(A) IN CONFIRMING THE ACTION OF THE ASSESSING OFFICER IN NO T ALLOWING THE DEDUCTION UNDER SECTION 80P(2)(A)(I) OF THE ACT IN RESPECT OF THE INTER EST EARNED ON THE SHORT TERM FIXED DEPOSITS MADE BY ITA.NO. 01 /PAN/201 7 HEBBAL URBAN CREDIT SOUHARDA SAHAKARI NIYAMIT 2 THE ASSESSEE WITH KVG BANK AND UNION BANK. IT WAS SUBMITTED THAT THE ISSUE WAS SQUARELY COVERED BY T H E DECISION OF THE HONBLE KARNATAKA HIGH COURT IN THE CASE OF GUTTIGEDARARA CREDIT COMPANY - OPERATIVE SOCIETY LTD. V. INCOME TAX OFFICER, WARD 2(2), MYSORE REPORTED IN (2015) 60 TAXMANN .COM 215 (KARNATAKA) WHEREIN IT HAS BEEN HELD THAT THE ASSESSEE IS ENTITLED TO THE BENEFIT OF THE DEDUCTION UNDER SECTION 80P(2)(A)(I) IN RESPECT O F THE INTEREST EARNED ON THE SHORT TERM DEPOSITS IN THE BANKS. IN REPLY LEARNED DEPARTMENTAL REPRESENTATIVE VEHEMENTLY SUPPORTED THE O R DER OF THE ASSESSING OFFICER AND CIT(A). 4 . I HAVE C ONSIDERED THE RIVAL SUBMISSIONS. AS IT IS NOTICE D THAT THE ISSUE IN T HE APPEAL IS SQUARELY COVERED BY THE DECISION OF THE HONBLE JURISDICTION AL HIGH COURT OF KARNATAKA IN THE CASE OF GUTTIGEDARARA CREDIT COMPANY - OPERATIVE SOCIETY LTD. V. INCOME TAX OFFICER, WARD 2(2), MYSORE REFER R ED (SUPRA) , RESPECTFULLY FOLLOWING THE DECISION OF THE HONBLE KARNATAKA HIGH COURT , THE FINDINGS OF THE LOWER AUTHORITIES STANDS REVERSED. THE ASSESSING OFFICER IS DIRECTED TO GRANT A SSESSEE BENEFIT OF DEDUCTION UNDER SECTION 80P(2)(A)(I) OF THE ACT IN RESPECT OF T HE INTEREST ON THE SHORT TERM DEPOSITS MADE BY THE ASSESSEE IN THE KVG BANK AND UNION BANK. 5 . IN THE RESULT APPEAL OF THE ASSESSEE STANDS ALLOWED. ORDER PRONOUNCED IN THE COURT AT THE CLOSE OF THE HEARING ON WEDNESDAY , THE 1 5 TH DAY OF MARCH , 2017 AT GOA. SD/ - (GEORGE MATHAN) JUDICIAL MEMBER DATED : 1 5 TH MARCH , 2017. VSSGB / - ITA.NO. 01 /PAN/201 7 HEBBAL URBAN CREDIT SOUHARDA SAHAKARI NIYAMIT 3 COPY TO: 1 . THE ASSESSEE. 2 . THE REVENUE. 3 . THE CIT 4 . THE CIT(A), 5 . THE D.R. 6 . GUARD FILE. BY ORDER ASSISTANT REGISTRAR I.T.A.T., PANAJI