The Income Tax Officer, Nipani., Belagavi V. Shri Basaveshwar Co-op. Credit Society Ltd., Belagavi

ITA 301/PAN/2015

• Counselvise Citation: [2015] 134 COUNSELVISE.COM (IT) 1354 (ITAT-PANAJI)
• Duration Of Justice: 2 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-10-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2012-2013
• Appeal Filed On: 23-07-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SIDDAPP A JI R N
• Keywords: Question of law; Benefit of exemption
• Section: 143(3); 263

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PANAJI BENCH, PANAJI BEFORE SHRI N.S. SAINI , HONBLE ACCOUNTANT MEMBER AND SHRI GEORGE MATHAN, HONBLE JUDICIAL MEMBER ITA NO. 301 /PNJ/201 5 (ASST. YEAR : 20 12 - 1 3 ) ITO, NIPANI, DIST. BELAGAVI. VS. SHRI BASA W ESHWAR COOPERATIVE CREDIT SOCIETY LTD., SOMWAR PETH, CHI K KODI, TALUKA CHIK K ODI, DIST. BELAGAVI. PAN NO. AAAAB 1335 Q (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI PRAMOD Y. VAIDYA ADV. DEPARTMENT BY : SHRI SIDDAPP A JI R.N. - D R DATE OF HEARING : 05 / 1 0/2015 . DATE OF PRONOUNCEMENT : 05 / 1 0 /201 5 . O R D E R PER N.S. SAINI , ACCOUNTANT MEMBER THIS IS AN APPEAL FILED BY THE REVENUE AGAINST THE ORDER OF COMMISSIONER OF INCOME TAX (APPEALS) , BELGAUM , DATED 18 /0 5 /201 5 . 2. THE SOLE ISSUE INVOLVED IN THI S APPEAL IS THAT THE COMMISSIONER OF INCOME TAX (APPEALS) ERRED IN ALLOWING DEDUCTION TO THE ASSESSEE UNDER SEC. 80P(2)(A)(I) OF THE INCOME TAX ACT, 1961. 3 . THE FACTS OF THE CASE , IN BRIEF, ARE THAT THE ASSESSEE FILED RETURN OF INCOME AFTER CLAIMING DEDUCTION UNDER SEC. 80P(2)(A)(I) OF THE ACT FOR 50,24,280/ - . IT WAS CLAIMED THAT THE SOCIETY IS ENTITLED TO DEDUCTION UNDER SEC. 80P(2)(A)(I) AS IT WAS A COOPERATIVE SOCIETY CARRYING ON THE B USINESS OF BANKING OR PROVIDING CREDIT FACILITIES TO ITS MEMBERS. 2 ITA NO. 301 /PNJ/201 5 HOWEVER, THE CLAIM OF THE ASSESSEE FOR DEDUCTION UNDER SEC. 80P(2)(A)(I) WAS REJECTED BY THE ASSESSING OFFICER IN THE ORDER PASSED UNDER SEC. 143(3) OF THE ACT ON THE GROUND THAT THE ASSESS EE WAS A COOPERATIVE BANK, AND HENCE, NOT ENTITLED TO CLAIM DEDUCTION BY VIRTUE OF SEC. 80P(4). 4. ON APPEAL, COMMISSIONER OF INCOME TAX (APPEALS) AL LOWED THE CLAIM OF THE ASSESSEE BY OBSERVING AS UNDER: - 6. I HAVE CAREFULLY PERUSED AND CONSIDERED THE AF ORESAID SUBMISSION MADE BY THE APPELLANT AND THE CONTENTS OF THE ASSESSMENT ORDER PASSED BY THE ASSESSING OFFICER. I HAVE ALSO PERUSED THE CASE LAWS RELIED UPON BY THE APPELLANT AND THE ASSESSING OFFICER. THE MAIN PLANK OF ARGUMENT OF THE ASSESSING OFFICER HAS BEEN THAT AFTER CAREFUL ANALYSIS OF SECTION 80P(4) READ WITH SECTION 2(24)(VIIA) OF THE INCOME - TAX ACT, 1961 AND PART V OF THE BANKING REGULATION ACT AND THE FACTS OF THE CASE, THE APPELLANT ASSESSEE CO - OPERATIVE CREDIT SOCIETY IS HELD TO BE A 'PRIMAR Y CO - OPERATIVE BANK' HENCE IS NOT ELIGIBLE FOR DEDUCTION UNDER SEC.80P(2)(A)(I) IN VIEW OF THE NEWLY INSERTED PROVISIONS OF SECTION 80P(4). THE ASSESSING OFFICER HAS ARRIVED AT A CONCLUSION THAT IF A COOPERATIVE SOCIETY SATISFIES ALL THE THREE CONDITIONS A S LAID DOWN IN THE DEFINITION AS GIVEN U/S 5(CCV) IN PART V OF THE BANKING REGULATION ACT, 1949, THEN IT BECOMES A 'PRIMARY CO - OPERATIVE BANK', AND THEREFORE DEDUCTION U/S 80P(2)(A)(I) CAN BE DENIED BY VIRTUE OF SEC.80P(4). 6.1 THE RELEVANT PART OF SECTION 80 P OF THE I.T ACT UNDER WHICH THE APPELLANT CO - OPERATIVE SOCIETY HAS CLAIMED DEDUCTION READS AS UNDER: 'DEDUCTION IN RESPECT OF INCOME OF CO - OPERATIVE SOCIETIES. 80 P. (1) WHERE, IN THE CASE OF AN ASSESSEE BEING A CO - OPERATIV E SOCIETY, THE GROSS TOTAL INCOME INCLUDES ANY INCOME REFERRED TO IN SUB - SECTION (2), THERE SHALL BE DEDUCTED, IN ACCORDANCE WITH AND SUBJECT TO THE PROVISIONS OF THIS SECTION, THE SUMS SPECIFIED IN SUB - SECTION (2), IN COMPUTING THE TOTAL INCOME OF THE ASS ESSEE. (2) THE SUMS REFERRED TO IN SUB - SECTION (1) SHALL BE THE FOLLOWING, NAMELY: - (A) IN THE CASE OF CO - OPERATIVE SOCIETY ENGAGED IN (I) CARRYING ON THE BUSINESS OF BANKING OR PROVIDING CREDIT FACILITIES TO ITS MEMBERS, OR 3 ITA NO. 301 /PNJ/201 5 (II) --------------------- --------- THE WHOLE OF THE AMOUNT OF PROFITS AND GAINS OF BUSINESS ATTRIBUTABLE TO ANY ONE OR MORE OF SUCH ACTIVITIES: 6.1.1 THE CLAUSE (4) OF SEC.80P INSERTED BY THE FINANCE ACT,2006 W.E.F. 01 - 04 - 2007, WHICH HAS BEEN INVOKED BY THE ASSESSING OFFICER TO DENY DEDUCTION TO THE APPELLANT CO - OPERATIVE SOCIETY READS AS UNDER: (4) THE PROVISION S OF THIS SECTION SHALL NOT APPL Y IN RELATION TO ANY CO - OPERATIVE BANK OTHER THAN A PRIMARY AGRICULTURAL CREDIT SOCIETY OR A PRIMARY CO - OPERATIVE AGRICULTURAL AND RURAL DEVELOPMENT BANK. EXPLANATION: FOR THE PURPOSES OF THIS SUB - SECTION: (A) CO - OPERATIVE BANK AND PRIMARY AGRICULTURAL CREDIT SOCIETY SHALL HAVE THE MEANINGS RESPECTIVELY ASSIGNED TO THEM IN PART V OF THE BANKING REGULATION ACT, 1949 (10 OF 1949); (B) PR IMARY CO - OPERATIVE AGRICULTURAL AND RURAL DEVELOPMENT BANK MEANS A SOCIETY HAVING ITS AREA OF OPERATION CONFINED TO A TALUK AND THE PRINCIPAL OBJECT OF WHICH IS TO PROVIDE FOR LONG - TERM CREDIT FOR AGRICULTURAL AND RURAL DEVELOPMENT ACTIVITIES. BY VIRTUE OF INTRODUCTION OF CLAUSE(4) IN SEC.80P, THE CO - OPERATIVE BANKS HAVE BEEN TAKEN OUT OF THE PURVIEW OF EXEMPTION GRANTED UNDER SEC.80P WHEREAS OTHER ENTITIES/COOPERATIVE SOCIETIES SPECIFIED IN OTHER CLAUSES OF SEC.80P CONTINUE TO ENJOY SUCH EXEMPTIONS. TH E EXPLANATION TO SEC.80P PROVIDES THAT CO - OPERATIVE BANK AND PRIMARY AGRICULTURAL CREDIT SOCIETY SHALL HAVE THE MEANINGS RESPECTIVELY ASSIGNED TO THEM IN PART V OF THE BANKING REGULATION ACT, 1949 (10 OF 1949). 6.1.2 FOLLOWING THE PROVISIONS OF AFORES AID EXPLANATION TO SEC.80P , THE ASSESSING OFFICER, WITH A VIEW TO FIND OUT THE DEFINITION OF CO - OPERATIVE BANK HAS TAKEN RECOURSE TO THE RELEVANT PROVISIONS OF THE BANKING REGULATION ACT, 1949. SL. NO. CATEGORY CLAUSE/SECTION OF THE BANKING REGULATION A CT, 1949 DEFINITION 1 2 3 4 1 CO - OPERATIVE BANK CLAUSE (CCI) OF SECTION 5 CO - OPERATIVE BANK MEANS A STATE CO - OPERATIVE BANK, A CENTRAL CO - OPERATIVE BANK AND A PRIMARY CO - OPERATIVE BANK 2 PRIMARY CO - OPERATIVE BANK CLAUSE (CCV) OF SECTION 5 PRIMARY CO - OPERATIVE BANK MEANS A CO - OPERATIVE SOCIETY OTHER THAN A PRIMARY AGRICULTURAL CREDIT SOCIETY (1) THE PRIMARY OBJECT OR PRINCIPAL BUSINESS OF WHICH IS THE TRANSACTION OF BANKING BUSINESS; (2) THE PAID UP SHARE CAPITAL 4 ITA NO. 301 /PNJ/201 5 AND RESERVES OF WHICH ARE NOT LESS THAN ONE LAKHS OF RUPEES; AND (3) THE BYE - LAWS OF WHICH DO NOT PERMIT ADMISSION OF ANY OTHER CO - OPERATIVE SOCIETY AS A MEMBER. 3 PRIMARY CREDIT SOCIETY CLAUSE (CCVI) OF SECTION 5 PRIMARY CO - OPERATIVE SOCIETY MEANS A CO - OPERATIVE SOCIETY OTHER THAN A PRIMARY AGRICULTURAL CREDIT SOCIETY (1) THE PRIMARY OBJECT OR PRINCIPAL BUSINESS OF WHICH IS THE TRANSACTION OF BANKING BUSINESS; (2) THE PAID UP SHARE CAPITAL AND RESERVES OF WHICH ARE NOT LESS THAN ONE LAKHS OF RUPEES; AND (3) THE BYE - LAWS OF WHI CH DO NOT PERMIT ADMISSION OF ANY OTHER CO - OPERATIVE SOCIETY AS A MEMBER. THE ASSESSING OFFICER HAS THUS MENTIONED THAT THE CO - OPERATIVE BANK INCLUDES PRIMARY CO - OPERATIVE BANK AND PRIMARY CO - OPERATIVE BANK MEANS CO - OPERATIVE SOCIETY (1) THE PRIM ARY OBJECT OR PRINCIPAL BUSINESS OF WHICH IS THE TRANSACTION OF BANKING BUSINESS; (2) THE PAID UP SHARE CAPITAL AND RESERVES OF WHICH ARE NOT LESS THAN ONE LAKHS OF RUPEES; AND (3) THE BYE - LAWS OF WHICH DO NOT PERMIT ADMISSION OF ANY OTHER CO - OPERATIVE SOC IETY AS A MEMBER. 6.1.3 THE ASSESSING OFFICER HAS CONCLUDED THAT THE APPELLANT CO - OPERATIVE SOCIETY SATISFIES ALL THE ABOVE MENTIONED THREE CONDITIONS AND THEREFORE IT IS HELD TO BE A PRIMARY COOPERATIVE BANK AND HENCE ITS CLAIM OF DEDUCTION U/S 80P(2)(A)(I) HAS BEEN DENIED U/S 80P(4). BEFORE ARRIVING AT THIS CONCLUSION THE ASSESSING OFFICER HAS ALSO REFERRED TO THE NEWLY INSERTED PROVISIONS OF SEC.2(24)(VIIA), INSERTED BY THE FINANCE ACT,2006 W.E.F. 01 - 04 - 2007 WHICH READS AS UNDER: (24) INCOME INCLUDES - (VIIA) THE PROFITS AND GAINS OF ANY BUSINESS OF BANKING (INCLUDING PROVIDING CREDIT FACILITIES) CARRIED ON BY A CO - OPERATIVE SOCIETY WITH ITS MEMBERS; THE ASSESSING OFFICER HAS CONTENDED THAT THE PURPOSE OF INTRODUCTION OF THESE PROVISIONS W AS TO TAX THE PROFITS AND GAINS OF ANY BUSINESS OF BANKING (INCLUDING PROVIDING CREDIT FACILITIES) CARRIED ON BY A CO - OPERATIVE SOCIETY WITH ITS MEMBERS. THE ASSESSING OFFICER HAS ALSO REFERRED TO THE DEFINITION OF BANKING AS PROVIDED IN SEC.5(B) OF THE BANKING REGULATION ACT,1949 WHICH READS AS UNDER: (B)BANKING MEANS THE ACCEPTING FOR THE PURPOSE OF LENDING OR INVESTMENT, OF DEPOSIT OF MONEY FROM PUBLIC, REPAYABLE ON 5 ITA NO. 301 /PNJ/201 5 DEMAND OR OTHERWISE, AND WITHDRAWAL BY CHEQUE, DRAFT, ORDER OR OTHERWISE. THE A.O HAS COME TO THE CONCLUSION THAT THE APPELLANT CO - OPERATIVE SOCIETY IS DOING BANKING BUSINESS AS PROVIDING CREDIT FACILITIES TO MEMBERS IS AKIN TO BANKING BUSINESS AND SINCE THE MEMBERSHIP IS OPEN TO PUBLIC, IT IS ACCEPTING DEPOSITS FROM PUBLIC WHICH CAN BE WITHDRAWN BY ANY ONE OF THE SPECIFIED MEANS WITHIN THE MEANING OF ABOVE MENTIONED DEFINITION OF BANKING. 6.1.4. SIMILAR ISSUE IS ALSO INVOLVED IN A NUMBER OF CASES PERTAINING TO CREDIT CO - OPERATIVE SOCIETIES WHICH ARE ALSO IN APPEAL AND THEY HAVE ALL CONTESTED THE ACTION OF THE AO IS INVOKING THE PROVISIONS OF SEC. 80P(4) IN THEIR RESPECTIVE CASES ON THE BASIS OF VARIOUS CONTENTIONS DISCUSSED HEREIN BELOW. 6.2 THE APPELLANTS ON THE OTHER HAND HAS CHALLENGED THE INTERPRETATION OF SECTIONS 80P(2), 80P(4 ) AND RELEVANT PROVISION OF THE BANKING REGULATION ACT, 1949 AS ADOPTED BY THE A.O IN HIS ASSESSMENT ORDER. THE APPELLANTS HAVE ALSO CONTENDED THAT THE INTENTION OF THE LEGISLATURE AS REVEALED BY THE SPEECH OF THE FINANCE MINISTER WAS NOT TO DENY DEDUCTION TO ALL THE COOPERATIVE SOCIETIES BY INTRODUCTION OF SEC. 80P(4). 6.2.1 IT HAS ALSO BEEN A CONTENTION OF THE APPELLANTS THAT TO FULFIL THE FIRST CONDITION FOR BECOMING A PRIMARY CO - OPERATIVE BANK, THE SOCIETY SHOULD CARRY ON THE BUSINESS OF BANKING AS P ER THE DEFINITION OF BANKING IN BANKING REGULATION ACT, 1949. THE APPELLANTS HAVE ALSO CONTENDED THAT THE RESPECTIVE APPELLANT ASSESSEE SOCIETY REGISTERED UNDER THE KARNATAKA COOPERATIVE SOCIETIES ACT, 1959 IS CARRYING ON THE BUSINESS OF PROVIDING CREDIT FACILITY TO ITS MEMBERS AND IS NOT ALLOWED TO ISSUE CHEQUES, DRAFTS, PAY ORDERS, ETC. AS PER THE BANKING REGULATION ACT, PERMISSION OF RESERVE BANK OF INDIA IS REQUIRED TO ISSUE CHEQUES, DRAFTS AND PAY ORDERS, ETC. AND THE RESPECTIVE APPELLANT HAS NOT OBT AINED ANY SUCH LICENSE/PERMISSION FROM THE RESERVE BANK OF INDIA TO CARRY ON THE BUSINESS OF BANKING. 6.2.2 THE APPELLANT COOPERATIVE SOCIETIES HAVE CONTENDED THAT THE EXPLANATORY NOTE TO MEMORANDUM EXPLAINING THE PROVISIONS IN THE FINANCE BILL, 2006 WH EREIN THE HON'BLE FINANCE MINISTER EXPLAINS THE REASONS FOR WITHDRAWAL OF TAX BENEFITS AVAILABLE TO CERTAIN CO - OPERATIVE BANKS, THE RELEVANT PORTION OF THE SAID NOTES IS REPRODUCED HEREINBELOW: 'SECTION 80P, INTER ALIA, PROVIDES FOR A DEDUCTION FROM THE TO TAL INCOME OF THE CO OPERATIVE SOCIETIES ENGAGED IN THE BUSINESS OF BANKING OR PROVIDING CREDIT FACILITIES TO ITS MEMBERS, OR BUSINESS 6 ITA NO. 301 /PNJ/201 5 OF COTTAGE INDUSTRY, OR OF MARKETING OF AGRICULTURAL PRODUCE OF ITS MEMBERS, OR PROCESSING, WITHOUT THE AID OF POWER, OF THE AGRICULTURAL PRODUCE OF ITS MEMBERS, ETC. THE CO - OPERATIVE BANKS ARE FUNCTIONING AT PAR WITH OTHER COMMERCIAL BANKS, WHICH DO NOT ENJOY ANY TAX BENEFITS. IT IS, THEREFORE, PROPOSED TO AMEND SECTION SOP BY INSERTING A NEW SUB - SECTION (4) SO AS TO PROVID E THAT THE PROVISIONS OF THE SAID SECTION SHALL NOT APPLY IN RELATION TO ANY CO - OPERATIVE BANK OTHER THAN PRIMARY CREDIT SOCIETY OR A PRIMARY CO - OPERATIVE AGRICULTURAL AND RURAL DEVELOPMENT BANK. IT IS ALSO PROPOSED TO DEFINE THE EXPRESSIONS 'CO - OPERATIVE BANK', 'PRIMARY AGRICULTURAL CREDIT SOCIETY' AND 'PRIMARY CO - OPERATIVE AGRICULTURAL AND RURAL DEVELOPMENT BANK'. IT IS ALSO PROPOSED TO INSERT A NEW SUB - CLAUSE (VIIA) IN CLAUSE (24) OF THE SECTION 2 SO AS TO PROVIDE THAT THE PROFITS AND GAINS OF ANY BUSINE SS OF BANKING (INCLUDING PROVIDING CREDIT FACILITIES) CARRIED ON BY A CO - OPERATIVE SOCIETY WITH ITS MEMBERS SHALL BE INCLUDED IN THE DEFINITION OF 'INCOME'. THIS AMENDMENT WILL TAKE EFFECT FROM 1ST APRIL, 2007 AND WILL, ACCORDINGLY, APPLY IN RELATION TO TH E ASSESSMENT YEAR 2007 - 08 AND SUBSEQUENT YEARS.' THE APPELLANTS HAVE THUS CONTENDED THAT IT WAS CLEAR THAT THE INTENTION OF THE FINANCE MINISTER WAS TO TAX 'CO - OPERATIVE BANKS' ONLY. 6.2.3 THE APPELLANTS HAVE RELIED ON THE DECISION IN THE CASES OF (I) KARNATAKA HIGH COURT (DHARWAD BENCH )0RDER IN THE CASE OF CIT VS SRI BILURU GURUBASAVA PATTINA SAHAKARI SANGHA NIYAMITHA BAGALKOT ITA 5006/2013 DT 5TH FEB 2014 WHEREIN APART FROM THE DECIDING ON SECTION 263 IT HAS ALSO HELD, ON SECTION 80P THAT ' AS THE AS SESSEE IS NOT A COOPERATIVE BANK CARRYING ON EXCLUSIVELY BANKING BUSINESS AND AS IT DOES NOT POSSESS A LICENCE FROM RESERVE BANK OF INDIA TO CARRY ON BUSINESS , IT IS NOT A COOPERATIVE BANK. (II) THE KARNATAKA HIGH COURT DECISION IN THE CASE OF THE COMMIS SIONER OF INCOME TAX (A), MYSORE & OTHERS VS GENERAL INSURANCE EMPLOYEES COOPERATIVE CREDIT SOCIETY LTD ITA NO 273/2013 DT 27.6.2014. (III) KARNATAKA HIGH COURT DECISION IN THE CASE OF VASAVI MULTIPURPOSE SOUHARDA SAHAKARI NIYAMITA, ITA NO. 505/2013 DAT ED 27/06/2014. (IV) CIT VS JAFARI MOM IN VIKAS COOP CREDIT SOCIETY LTD ITA 442,443 & 863 OF 2013 OF GUJARAT HIGH COURT. 7 ITA NO. 301 /PNJ/201 5 (V) TARAMANI MANILA COOP CREDIT SOCIETY VS ITO WARD 1(2), BELGAUM ITA 229 & 230/PNJ/2013DT 28.2.2014 (VI) ITAT BANGALORE B BENCH DECISION VIDE ITA NO 1069/BANG/2010 FOR THE ASST YEAR 2007 - 08 OF M/S BANGALORE COMMERCIAL TRANSPORT COOP SOCIETY LTD, BANGALORE. (VII) ITO VS YESHWANTPUR CREDIT COOP SOCIETY LTD ITA NO. 717/BANG/2011 DT 11.4.2012 RENDERED BY ITAT A BENCH, BANGALORE. (VI II) M/S JAYALAKSHMI MAHILA VIVIDODESHAGALA SOUHARADA SAHAKARI LTD & ANOTHER IN ITA NO 01 TO 03/PNJ/2012 AND ITA 04 TO 06/PNJ/2012. THE APPELLANTS HAVE CLAIMED THAT IN ALL THESE CASES IT WAS HELD THAT INCOME EARNED BY CO OPERATIVE SOCIETY FROM ITS ACT OF LENDING MONEY TO MEMBERS SHALL BE ELIGIBLE FOR EXEMPTION UNDER SECTION 80P(2)(A)(I) OF THE ACT. 7. THE IMPORTANT ASPECTS RELATING TO THE ISSUES IN THIS CASE HAVE BEEN CONSIDERED AND DECIDED BY VARIOUS ITATS ACROSS THE COUNTRY. THE JURISDICTIONAL ITAT OF BANGALORE BENCH IN A NUMBER OF CASES WHILE DECIDING THE ISSUE IN FAVOUR OF THE ASSESSEES HAS HELD THAT THE COOPERATIVE SOCIETIES ARE NOT DOING BANKING BUSINESS AND THEREFORE, THE PROVISIONS OF SECTION 80P(4) ARE NOT APPLICABLE TO THEM. THE JURISDICTIONAL ITAT PANJIM BENCH HAS ALSO IN A NUMBER OF CASES WHERE THE ASSESSEE COOPERATIVE SOCIETY ENGAGED IN PROVIDING CREDIT FACILITIES TO ITS MEMBERS AND NOT ACCEPTING DEPOSIT FROM PUBLIC AS EVIDENCED FROM THEIR BYE LAWS OR THE COOPERATIVE SOCIETIES ACCEPTING OTHER COOPERATIVE SOCIETIES AS MEMBERS HAVE HELD THAT THOSE COOPERATIVE SOCIETIES ARE ENTITLES TO THE BENEFIT OF DEDUCTION U/S 80P(2)(A)(I) OF THE I.T. ACT. 8. NOW, AFTER THE GUJARAT HIGH COURT IN THE CASE OF CIT VS JAFARI MOM IN VIKAS COOP CREDIT SOCIET Y LTD ITA 442, 443 & 863 OF 2013 DECIDING THE ISSUE IN FAVOUR OF THE ASSESSEE, THE KARNATAKA HIGH COURT IN THE CASES OF CIT VS SRI BILURU GURUBASAVA PATTINA SAHAKARI SANGHA NIYAMITHA BAGALKOT ITA 5006/2013 DT 5 TH FEB 2014, COMMISSIONER OF INCOME TAX (A), M YSORE & OTHERS VS GENERAL INSURANCE EMPLOYEES COOPERATIVE CREDIT SOCIETY LTD ITA NO 273/2013 DT 27.6.2014 AND KARNATAKA HIGH COURT DECISION IN THE CASE OF VASAVI MULTIPURPOSE SOUHARDA SAHAKARI NIYAMITA, ITA NO. 505/2013 DATED 27/06/2014 HAS ALSO DECIDED T HE ISSUE IN FAVOUR OF THE ASSESSEE. 8 ITA NO. 301 /PNJ/201 5 8. 1 THE HON'BLE HIGH COURT OF KARNATAKA IN THE CASE OF SRI BILURU GURUBASAVA PATTINA SAHAKARI SANGHA NIYAMITHA, SUPRA WHICH WAS FOLLOWED IN THE CASES OF GENERAL INSURANCE EMPLOYEES COOPERATIVE CREDIT SOCIETY LTD, AND KAR NATAKA HIGH COURT DECISION IN THE CASE OF VASAVI MULTIPURPOSE SOUHARDA SAHAKARI NIYAMITA, ITA NO. 505/2013 DATED 27/06/2014. SUPRA, HAS CLEARLY HELD THAT A CO - OPERATIVE SOCIETY REGISTERED AS COOPERATIVE SOCIETY, PROVIDING CREDIT FACILITIES TO MEMBERS AND N OT REGISTERED WITH THE RBI CANNOT BE DENIED THE EXEMPTION UNDER SECTION 80P(2)(A)(I) OF THE I.T. ACT. THE OPERATIVE PART OF THE JUDGMENT READS AS FOLLOWS: 'THEREFORE, THE INTENTION OF THE LEGISLATURE IS CLEAR. IF A CO - OPERATIVE BANK IS EXCLUSIVELY CARRYING ON BANKING BUSINESS, THEN THE INCOME DERIVED FROM THE SAID BUSINESS CANNOT BE DEDUCTED IN COMPUTING THE TOTAL INCOME OF THE ASSESSEE. THE SAID INCOME IS LIABLE FOR TAX. A CO - OPERATIVE BANK AS DEFINED UNDER THE BANKING REGULATION ACT INCLUDES THE PRIMARY A GRICULTURAL CREDIT SOCIETY OR A PRIMARY CO - OPERATIVE AGRICULTURAL AND RURAL DEVELOPMENT BANK. THE LEGISLATURE DID NOT WANT TO DENY THE SAID BENEFITS TO A PRIMARY AGRICULTURAL CREDIT SOCIETY OR A. PRIMARY CO - OPERATIVE AGRICULTURAL AND RURAL DEVELOPMENT BANK . THEY DID NOT WANT TO EXTEND THE SAID BENEFIT TO A CO - OPERATIVE BANK WHICH IS EXCLUSIVELY CARRYING ON BANKING BUSINESS I.E. THE PURPORT OF THIS AMENDMENT. THEREFORE, AS THE ASSESSEE IS NOT A COOPERATIVE BANK CARRYING ON EXCLUSIVELY BANKING BUSINESS AND AS IT DOES NOT POSSESS A LICENCE FROM RESERVE BANK OF INDIA TO CARRY ON BUSINESS, IT IS NOT A CO - OPERATIVE BANK. IT IS A CO OPERATIVE SOCIETY WHICH ALSO CARRIES ON THE BUSINESS OF LENDING MONEY TO ITS MEMBERS WHICH IS COVERED UNDER SECTION 80P{2)(A}(I) I.E. CARRYING ON THE BUSINESS OF BANKING FOR PROVIDING CREDIT FACILITIES TO ITS MEMBERS. THE OBJECT OF THE AFORESAID AMENDMENT IS NOT TO EXCLUDE THE BENEFIT EXTENDED UNDER SECTION 80P(1) TO SUCH SOCIETY ............................... ..... IN THE INSTANT CASE, WHEN THE STATUS OF THE ASSESSEE IS A CO - OPERATIVE SOCIETY AND IS NOT A CO - OPERATIVE BANK, THE ORDER PASSED BY THE ASSESSING AUTHORITY EXTENDING THE BENEFIT OF EXEMPTION FROM PAYMENT OF TAX UNDER SECTION 80P(2)(A)(I) OF THE ACT I S CORRECT. ' 8. 2 THE FACT THAT THE APPELLANT IS A COOPERATIVE SOCIETY REGISTERED UNDER THE KARNATAKA CO OPERATIVE SOCIETIES ACT,1959 ENGAGED IN PROVIDING CREDIT FACILITIES TO ITS MEMBERS HAS BEEN CLEARLY MENTIONED BY THE A.O IN PARA 3 OF HIS AFORESAID ASSE SSMENT ORDER. IT IS ALSO NOT THE CASE OF THE ASSESSING OFFICER THAT THE ASSESSEE IS REGISTERED WITH THE RBI AS A BANK. IN ITS 9 ITA NO. 301 /PNJ/201 5 AFORESAID SUBMISSIONS DATED 06 /0 5 /201 5 THE APPELLANT HAS CLEARLY STATED WITH THE HELP OF NECESSARY EVIDENCE AND AN AFFIDAVIT DATED 0 5 /0 5 /201 5 TO THIS EFFECT THAT THE APPELLANT IS A COOPERATIVE SOCIETY REGISTERED UNDER THE KARNATAKA COOPERATIVE SOCIETIES ACT, 1959 ENGAGED IN PROVIDING CREDIT FA CILITIES ONLY TO ITS MEMBERS AND IT DOES NOT POSSESS ANY BANKING LICENCE FROM THE RBI. IT IS THEREFORE, CLEAR THAT THE APPELLANT'S CASE IS SQUARELY COVERED BY THE AFORESAID DECISIONS OF THE JURISDICTIONAL HIGH COURT OF KARNATAKA IN THE CASES OF SRI BILURU GURUBASAVA PATTINA SAHAKARI SANGHA NIYAMITHA. SUPRA WHICH WAS FOLLOWED IN THE CASE OF GENERAL INSURANCE EMPLOYEES COOPERATIVE CREDIT SOCIETY LTD, AND KARNATAKA HIGH COURT DECISION IN THE CASE OF VASAVI MULTIPURPOSE SOUHARDA SAHAKARI NIYAMITA, ITA NO. 505/2 013 DATED 27/06/2014 SUPRA. THEREFORE, IN VIEW OF THE FOREGOING DISCUSSION AND RESPECTFULLY FOLLOWING THE AFORESAID DECISIONS OF THE JURISDICTIONAL HIGH COURT OF KARNATAKA, IT IS HELD THAT THE APPELLANT'S CASE IS NOT COVERED BY SECTION 80P(4) AS IT IS NOT A 'CO - OPERATIVE BANK' AND THEREFORE, IT IS ENTITLED TO THE EXEMPTION U/S 80P(2)(A)(I) OF THE IT ACT. 5 . BOTH THE PARTIES BEFORE US SUBMITTED THAT THE ISSUE NOW STANDS COVERED IN FAVOUR OF THE ASSESSEE AND AGAINST THE REVENUE BY THE DECISION OF THIS BENCH OF THE TRIBUNAL IN ASSESSEES OWN CASE IN I.T.A.NO S . 406 & 407 /PNJ/201 3 DATED 0 9 /0 5 /201 4 FOR THE ASSESSMENT YEAR S 2009 - 10 & 2010 - 11 , WHEREIN IT WAS HELD AS UNDER: - 3. WE HEARD THE RIVAL SUBMISSIONS AND CAREFULLY CONSIDERED THE SAME ALONGWITH THE ORDERS OF THE TAX AUTHORITIES BELOW AS WELL AS THE DECISIONS AND THE ENTIRE MATERIAL AND CASE LAWS REFERRED TO BEFORE US. THE QUESTION BEFORE US IS WHETHER THE ASSESSEE IS ENTITLED FOR DEDUCTION U/S 80P(2)(A)(I) AND WHETHER THE ASSESSEE IS HIT BY THE PROVISIONS OF SEC. 80P(4) WHICH WAS INTRODUCED IN THE STATUTE BY THE FINANCE ACT, 2006 W.E.F. 1.4.2007. THE RELEVANT PROVISIONS OF BOTH THE SECTIONS ARE RE - PRODUCED FOR OUR READY REFERENCE AS UNDER: - 80P. (1) WHERE, IN THE CASE OF AN ASSESSEE BEING A CO - OPERATIVE SOCIETY, THE GROSS TOTAL INCOME INCLUDES ANY INCOME REFERRED TO IN SUB - SECTION (2), THERE SHALL BE DEDUCTED, IN ACCORDANCE WITH AND SUBJECT TO THE PROVISIONS OF THIS SECTION, THE SUMS SPECIFIED IN SUB - SECTION (2), IN COMPUTING THE TOTAL INCOME OF THE ASSES SEE. 10 ITA NO. 301 /PNJ/201 5 (2) THE SUMS REFERRED TO IN SUB - SECTION (1) SHALL BE THE FOLLOWING, NAMELY : (A) IN THE CASE OF A CO - OPERATIVE SOCIETY ENGAGED IN (I) CARRYING ON THE BUSINESS OF BANKING OR PROVIDING CREDIT FACILITIES TO ITS MEMBERS, OR (II) ----- --- (III) ----- --- (IV) ----- --- (V) -------- (VI) -------- (VII) ------- THE WHOLE OF THE AMOUNT OF PROFITS AND GAINS OF BUSINESS ATTRIBUTABLE TO ANY ONE OR MORE OF SUCH ACTIVITIES. 80P(4) THE PROVISIONS OF THIS SECTION SHALL NOT APPLY IN RELATION TO ANY CO - OPERATIVE BANK OTHER THAN A PRIMARY AGRICULTURAL CREDIT SOCIETY OR A PRIMARY CO - OPERATIVE AGRICULTURAL AND RURAL DEVELOPMENT BANK. EXPLANATION. FOR THE PURPOSES OF THIS SUB - SECTION, (A) 'CO - OPERATIVE BANK' AND 'PRIMARY AGRICULTURAL CREDIT SOCIETY' SHALL HAVE THE ME ANINGS RESPECTIVELY ASSIGNED TO THEM IN PART V OF THE BANKING REGULATION ACT, 1949 (10 OF 1949); (B) 'PRIMARY CO - OPERATIVE AGRICULTURAL AND RURAL DEVELOPMENT BANK' MEANS A SOCIETY HAVING ITS AREA OF OPERATION CONFINED TO A TALUKA AND THE PRINCIPAL OBJECT OF WHICH IS TO PROVIDE FOR LONG - TERM CREDIT FOR AGRICULTURAL AND RURAL DEVELOPMENT ACTIVITIES. 3.1 FROM THE PLAIN READING OF SEC. 80P(2)(A)(I) IT IS APPARENT THAT IF THE CO - OPERATIVE SOCIETY IS ENGAGED IN CARRYING OF BUSINESS OF BANKING OR PROVIDING CRED IT FACILITIES TO ITS MEMBERS, THE CO - OPERATIVE SOCIETY IS ENTITLED FOR DEDUCTION ON WHOLE OF THE INCOME RELATING TO ANY ONE OR MORE OF SUCH BUSINESS. FROM THE READING OF SEC. 80P(4) IT IS APPARENT THAT THIS SECTION DENIES DEDUCTION TO A CO - OPERATIVE BANK OTHER THAN A PRIMARY AGRICULTURAL CREDIT SOCIETY OR PRIMARY CO - OPERATIVE AGRICULTURAL AND RURAL DEVELOPMENT BANK. THE PROVISIONS OF SEC. 80P(4) WAS INTRODUCED IN THE STATUTE BY THE FINANCE ACT, 2006 W.E.F. 1.4.2007. THE EXPLANATION TO THE SECTION DEFINES THE CO - OPERATIVE BANK AND PRIMARY AGRICULTURAL CREDIT SOCIETY TO HAVE THE SAME MEANING AS ASSIGNED TO THEM IN PART - V OF THE BANKING REGULATION ACT, 1949. IT IS NOT THE CASE OF EITHER OF THE PARTIES THAT THE ASSESSEE IS A PRIMARY CO - OPERATIVE AGRICULTURAL AND RURAL DEVELOPMENT BANK. IT IS ALSO NOT THE CLAIM OF THE ASSESSEE THAT ASSESSEE IS A PRIMARY AGRICULTURAL CREDIT SOCIETY. IF WE READ BOTH THE SECTIONS, SEC. 80P(2)(A)(I) AND SEC. 11 ITA NO. 301 /PNJ/201 5 80P(4) TOGETHER, WE FIND THAT THE PROVISIONS OF SEC. 80P(4) MANDATES THA T THE PROVISIONS OF SEC. 80P WILL NOT APPLY TO ANY CO - OPERATIVE BANK OTHER THAN A PRIMARY AGRICULTURAL CREDIT SOCIETY OR PRIMARY CO - OPERATIVE AGRICULTURAL AND RURAL DEVELOPMENT BANK BUT AS PER THE PROVISIONS OF SEC. 80P(2)(A)(I), A CO - OPERATIVE SOCIETY ENG AGED IN CARRYING ON THE BUSINESS OF BANKING OR PROVIDING CREDIT FACILITIES TO ITS MEMBERS IS ENTITLED FOR DEDUCTION. AFTER THE INSERTION OF SEC. 80P(4), THE PROVISIONS OF SEC. 80P(2)(A)(I) WERE NOT AMENDED, RATHER THE CO - OPERATIVE SOCIETY ENGAGED IN CARRY ING ON BUSINESS OF BANKING FACILITIES TO ITS MEMBERS CONTINUED TO BE ENTITLED FOR DEDUCTION U/S 80P(2)(A)(I). THIS PRE - SUPPOSES THAT EVERY CO - OPERATIVE SOCIETY ENGAGED IN CARRYING ON BUSINESS OF BANKING CANNOT BE REGARDED TO BE A CO - OPERATIVE BANK. THE E MBARGO PUT U/S 80P(4) ARE APPLICABLE ONLY TO A CO - OPERATIVE BANK. IN OUR OPINION, IT CANNOT BE SAID THAT A CO - OPERATIVE SOCIETY CANNOT CARRY ON BUSINESS OF BANKING FACILITIES TO ITS MEMBERS EVEN IF IT IS NOT A CO - OPERATIVE BANK. IF WE READ THE PROVISIONS IN THE MANNER THAT EVERY CO - OPERATIVE SOCIETY ENGAGED IN CARRYING ON BUSINESS OF BANKING EVEN FOR ITS MEMBERS IS REGARDED TO BE A CO - OPERATIVE BANK, THEN, THE PROVISIONS OF SEC. 80P(2)(A)(I) WILL BECOME REDUNDANT. THEREFORE, IN OUR OPINION, BEFORE DECIDI NG THE ISSUE WHETHER THE ASSESSEE IS ENTITLED FOR DEDUCTION U/S 80P(2)(A)(I), IT IS ESSENTIAL TO DECIDE WHETHER THE ASSESSEE IS A CO - OPERATIVE BANK OTHER THAN A PRIMARY AGRICULTURAL CREDIT SOCIETY OR A PRIMARY CO - OPERATIVE AGRICULTURAL AND RURAL DEVELOPMEN T BANK. IN CASE IT IS FOUND THAT THE ASSESSEE IS A CO - OPERATIVE BANK, THE ASSESSEE WILL NOT BE ENTITLED FOR DEDUCTION AS STIPULATED U/S 80P(2)(A)(I) BUT IN CASE THE ASSESSEE IS NOT A CO - OPERATIVE BANK OTHER THAN A PRIMARY AGRICULTURAL CREDIT SOCIETY OR A PRIMARY CO - OPERATIVE AGRICULTURAL AND RURAL DEVELOPMENT BANK, THE PROVISIONS OF SEC. 80P(2)(A)(I) WILL BE APPLICABLE TO THE ASSESSEE PROVIDED THE ASSESSEE IS ENGAGED IN CARRYING ON BUSINESS OF BANKING OR PROVIDING CREDIT FACILITIES TO ITS MEMBERS. THIS SEC TION NOWHERE STATES CO - OPERATIVE CREDIT SOCIETY EXCEPT MENTIONED UNDER PROVISO 2 TO SECTION 80P WHICH IS RELEVANT FOR SUB - CLAUSE 6 OR 7. IT HAS NOTHING TO DO WITH SECTION 80P(2)(A)(I). 3.2 IN OUR OPINION, SEC. 80P(2)(A)(I) PROVIDES TWO TYPES OF ACTIVIT IES IN WHICH THE CO - OPERATIVE SOCIETY MUST BE ENGAGED TO BE ELIGIBLE FOR DEDUCTION UNDER SUB - CLAUSE (I). THESE TWO ACTIVITIES ARE NOT ALTERNATES ONES BECAUSE THE SECTION ALLOWS DEDUCTION TO THE CO - OPERATIVE SOCIETY ON THE WHOLE OF PROFITS AND GAINS OF BUS INESS ATTRIBUTABLE TO ANY ONE OR MORE OF SUCH ACTIVITIES. THIS PRE - SUPPOSES THAT ELIGIBLE CO - OPERATIVE SOCIETY CAN CARRY ON EITHER ONE OF THESE TWO BUSINESSES OR CAN CARRY BOTH THESE BUSINESSES FOR THE MEMBERS. IF THE ASSESSEE CO - OPERATIVE SOCIETY CARRIES ON ONE OR BOTH OF THE ACTIVITIES, IT WILL BE ELIGIBLE FOR DEDUCTION. 12 ITA NO. 301 /PNJ/201 5 THESE TWO ACTIVITIES ARE (A) CO - OPERATIVE SOCIETY ENGAGED IN CARRYING ON BUSINESS OF BANKING FACILITIES TO ITS MEMBERS OR (B) CO - OPERATIVE SOCIETY ENGAGED IN PROVIDING CREDIT FACILITIES TO ITS MEMBERS. BOTH THE ACTIVITIES CAN BE CARRIED ON BY THE CO - OPERATIVE SOCIETY FOR ITS MEMBERS. IF A CO - OPERATIVE SOCIETY IS ENGAGED IN CARRYING ON THESE ACTIVITIES/FACILITIES FOR THE PERSONS OTHER THAN ITS MEMBERS, THE CO - OPERATIVE SOCIETY, IN OUR O PINION, WILL NOT BE ELIGIBLE FOR DEDUCTION U/S 80P(2)(A)(I) ON THE INCOME WHICH IT DERIVES FROM CARRYING ON THE ACTIVITIES NOT RELATING TO ITS MEMBERS. THEREFORE, WHERE A CO - OPERATIVE SOCIETY IS ENGAGED IN CARRYING ON BUSINESS OF BANKING FACILITIES TO ITS MEMBERS AND TO THE PUBLIC OR PROVIDING CREDIT FACILITIES TO ITS MEMBERS OR TO THE PUBLIC, THE INCOME WHICH RELATES TO THE BUSINESS OF BANKING FACILITIES TO ITS MEMBERS OR PROVIDING CREDIT FACILITIES TO ITS MEMBERS WILL ONLY BE ELIGIBLE FOR DEDUCTION U/S 8 0P(2)(A)(I). THERE IS NO PROHIBITION U/S 80P NOT TO ALLOW DEDUCTION TO SUCH CO - OPERATIVE SOCIETIES IN RESPECT OF BUSINESS RELATING TO ITS MEMBERS. 3.3 NOW, THE QUESTION BEFORE US IS WHETHER THE ASSESSEE IS A CO - OPERATIVE BANK OR NOT. CO - OPERATIVE BANK IS DEFINED IN PART V OF THE BANKING REGULATIONS ACT, 1949 AS UNDER: - CO - OPERATIVE BANK MEANS A STATE CO - OPERATIVE BANK, A CENTRAL CO - OPERATIVE BANK AND A PRIMARY CO - OPERATIVE BANK: 3.4. FROM THE DEFINITION OF CO - OPERATIVE BANK IT IS APPARENT THAT CO - OPERATIVE BANK MEANS STATES CO - OPERATIVE BANK, A CENTRAL CO - OPERATIVE BANK AND A PRIMARY CO - OPERATIVE BANK. IT IS NOT THE CASE OF THE REVENUE THAT THE ASSESSEE IS A STATE CO - OPERATIVE BANK OR CENTRAL CO - OPERATIVE BANK. WE HAVE THEREFORE TO FIND WHETHER THE ASSESSEE IS A PRIMARY CO - OPERATIVE BANK. 6 . FURTHER , THE HONBLE KARNATAKA HIGH COURT BENCH AT DHARWAD IN THE CASE THE NAVHIND COOPERATIVE CREDIT SOCEITY LTD. VS. CIT(A) & ANOTHER IN I.T.A.NO. 100020/2015 ORDER DATED 21/09/2015 WHILE DECIDING THE FOLLOWING QUESTION OF LAW: - 4. THE QUESTIONS OF LAW THAT ARISE FOR OUR CONSIDERATION IN THIS APPEAL ARE: - I. WHETHER THE BENEFIT OF DEDUCTION, UNDER SECTION 80P(2)(A)(I) OF THE IT ACT, COULD BE DENIED TO THE ASSESSEE ON THE FOOTING THAT THOUGH THE APPELLANT WAS SAID TO BE A CO - OPERATIVE SOCIETY, IT WAS IN FACT A COOPERATIVE BANK, WITHIN THE MEANING AS ASSIGNED TO SUCH BANK PART VS. OF THE BR ACT. 13 ITA NO. 301 /PNJ/201 5 II. WHETHER THE AUTHORITIES UNDER THE IT ACT WERE COMPETENT AND POSSESSED THE JURISDICTION TO RESOLVE THE CONTROVERSY AS TO WHETHER THE ASSESSEE WAS A CO - OPER A TI V E SOCIETY OR COOPERATIVE BANK, AS DEFINED UNDER THE PROVISIONS OF THE BR ACT? HAS HELD AS UNDER: - 9. IN THE LIGHT OF THE ABOVE CONTENTIONS AND ON AN EXAMINATION OF THE RELEVANT LEGAL PROVISIONS, IT IS TO BE NOTICED AT THE OUTSET THAT THIS COURT IN THE APPEAL IN ITA 351/ 2011, CIT V. BANGALORE COMMERCIAL TRANSPORT CREDIT CO - OPERATIVE SOCIETY LIMITED, DECIDED ON 2Z6.2014, HAD FRAMED THE FOLLOWING SUBSTANTIAL QUESTIONS OF LAW: (I) WHETHER THE TRIBUNAL WAS CORRECT IN HOLDING THAT THE PROVISION OF SUB - SECTION (4) OF SECTION 80P OF THE INCOME TAX ACT ARE APPLICABLE ONLY TO CO OPERATIVE BANKS AND NOT TO CREDIT CO - OPERATIVE SOCIETIES, WHICH ARE ENGAGED IN BUSINESS OF BANKING, INCLUDING PROVIDING CREDIT FACILITIES TO THEIR MEMBER? (II) WHETHER THE TRIBUNAL WAS CORRECT IN HOLDING THAT THE ASSESSEE IS A CO - OPERATIVE SOCIETY AND NOT A COOPERATIVE BANK IN TERMS OF SUB - SECTION (4) OF SECTION 80P OF THE INCOME TAX ACT WITHOUT CONSIDERING THE MEANING OF CO - OPERATIVE BANK AS ENVISAGED UNDER PART V OF THE BANKING REGULATION ACT, 1949, WHEREIN IT IS DEFINED THAT CO - OPERATIVE BANK INCLUDES P RIMARY COOPERATIVE BANK, WHICH IS FURTHER DEFINED AS COOPERATIVE SOCIETY WITH THE PRIMARY OBJECT OF TRANSACTIONS OF BANKING BUSINESS? THE SAID ISSUES WERE ANSWERED IN FAVOUR OF THE ASSESSEE. 7 . IN VIEW OF THE ABOVE, THE APPEAL OF THE REVENUE IS DISMISSED. 8 . IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE COURT AT THE CLOSE OF THE HEARING ON MONDAY , THE 05 TH DAY OF OCTOBER , 201 5 AT GOA . S D / - S D / - (GEORGE MATHAN) (N.S.SAINI) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED : 05 TH OCTOBER , 201 5 . 14 ITA NO. 301 /PNJ/201 5 VR/ - 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 15 ITA NO. 301 /PNJ/201 5 DATE INITIAL ORIGINAL DICTATION PAD & DRAFT ARE ENCLOSED IN THE FILE 1. DRAFT DICTATED ON 05 . 1 0.2015 SR.PS 2. DRAFT PLACED BEFORE AUTHOR 05 . 1 0 .2015 SR.PS 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER 05 / 1 0 /2015 JM/AM 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER 05 / 1 0/2015 JM/AM 5. APPROVED DRAFT COMES TO THE SR.PS/PS 05 / 1 0 /2015 SR.PS 6. DATE OF PRONOUNCEMENT 05 / 1 0/2015 SR.PS 7. FILE SENT TO THE BENCH CLERK 05 / 1 0 /2015 SR.PS 8. DATE ON WHICH FILE GOES TO THE HEAD CLERK 9. DATE OF DISPATCH OF ORDER