South Central Railway Employees Co-operative Credit Society Ltd, Hyderabad V. Income Tax Officer, Ward-10(5), Hyderabad

ITA 1527/Hyd/2019

• Counselvise Citation: [2021] 108 COUNSELVISE.COM (IT) 8654 (ITAT-HYDERABAD)
• Duration Of Justice: 1 year(s) 5 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-03-2021
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Next Hearing Date: 23-02-2021
• Assessment Year: 2012-2013
• Appeal Filed On: 11-10-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: N SWAPNA
• Assessee Lawyers: A V RAGHURAM
• Keywords: Co-operative Credit Society
• Section: 80P; 201

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES SMC, HYDERABAD (THROUGH VIDEO CONFERENCE) BEFORE SHRI S.S.GODARA, JUDICIAL MEMBER ITA NO. A.Y. APPELLANT RESPONDENT 1527/HYD/19 2012-13 M/S.SOUTH CENTRAL RAILWAY EMPLOYEES CO-OPERATIVE CREDIT SOCIETY LTD., HYDERABAD [PAN: AABAS9059D] INCOME TAX OFFICER, WARD-10(5), HYDERABAD 1528/HYD/19 2013-14 FOR ASSESSEE : SHRI A.V.RAGHU RAM, AR FOR REVENUE : SMT. N.SWAPNA, DR DATE OF HEARING : 23-02-2021 DATE OF PRONOUNCEMENT : 24-03-2021 O R D E R THESE TWO ASSESSEES APPEALS FOR AYS.2012-13 & 2013 -14 ARISE AGAINST THE CIT(A)-6, HYDERABADS ORDER(S) DATED 07-06-2019 PASSED IN APPEAL NOS.10283 & 10284 / 201 8-19 / A3 / CIT(A)-6, INVOLVING PROCEEDINGS U/S.143(3) R.W .S.147 OF THE INCOME TAX ACT, 1961 [IN SHORT, THE ACT]. HEARD BOTH PARTIES. CASE FILES PERUSED. 2. THE ASSESSEES IDENTICAL SOLE SUBSTANTIVE GRIEVANCE RAISED IN BOTH THESE APPEALS CHALLENGES CORRECTNESS OF THE LO WER AUTHORITIES ACTION DISALLOWING 80P DEDUCTION CLAIM OF RS.1,10,870/- AND RS.15,72,855/-; RESPECTIVELY ON TH E GROUND THAT THE SAME REPRESENTS INTEREST DERIVED FROM SURPLUS F UNDS INVESTED IN NATIONALISED BANKS/SBI. ITA NOS. 1527 & 1528/HYD/2019 :- 2 -: 3. LEARNED DEPARTMENTAL REPRESENTATIVE QUOTED CIT VS. SOUTH EASTERN RAILWAY EMPLOYEES CO-OPERATIVE CREDIT SO CIETY LTD., (2017) [390 ITR 524] (KOL) THAT THE IMPUGNED SEC TION 80P DEDUCTION IS NOT ALLOWABLE TO A CO-OPERATIVE CREDIT SOCI ETY U/S.80P(2) OF THE ACT. I, HOWEVER, NOTICE THAT THE HON'B LE JURISDICTIONAL HIGH COURTS DECISION IN VAVVERU CO-OP ERATIVE RURAL BANK LTD., VS. CIT (2017) [396 ITR 371] (AP) A LLOWING SUCH A DEDUCTION HAS BEEN FOLLOWED MUTATIS MUTANDIS IN THE CASE OF A CO-OPERATIVE CREDIT SOCIETY AS WELL IN ITTA NO.669/2016, DT.12-04-2017. I THEREFORE GO BY HON'BLE JURISDICTIONAL HIGH COURT TO CONCLUDE THAT THE ASSESSEE S IDENTICAL INTEREST INCOME FROM DEPOSITS MADE IN NATIONA LISED BANKS (SUPRA) ARE VERY MUCH ENTITLED FOR 80P DEDUCTI ON. NECESSARY COMPUTATION TO FOLLOW AS PER LAW THEREFORE. 4. THESE ASSESSEES APPEALS ARE ALLOWED IN ABOVE TER MS. ORDER PRONOUNCED IN THE OPEN COURT ON THE 24 TH MARCH, 2021 SD/- ( S.S.GODARA ) JUDICIAL MEMBER HYDERABAD, DATED: 24-03-2021 TNMM ITA NOS. 1527 & 1528/HYD/2019 :- 3 -: COPY TO : 1.M/S.SOUTH CENTRAL RAILWAY EMPLOYEES CO-OPERATIVE CREDIT SOCIETY LIMITED, 10-3-194, SAHAKAR BHAVAN, H IMMAT NAGAR, 236, REZMENTAL BAZAR, SECUNDERABAD. 2.THE INCOME TAX OFFICER, WARD-10(5), HYDERABAD. 3.CIT(APPEALS)-6, HYDERABAD. 4.PR.CIT-6, HYDERABAD. 5.D.R. ITAT, HYDERABAD. 6.GUARD FILE.