Sugar Cane Producers Vividha Karyakari Sah. Society Ltd, Solapur V. Income-tax Officer, Ward - 1(4), Pandharpur

ITA 3101/PUN/2017

• Counselvise Citation: [2018] 119 COUNSELVISE.COM (IT) 2430 (ITAT-PUNE)
• Duration Of Justice: 10 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-11-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2014-2015
• Appeal Filed On: 29-12-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: IS ARISING OUT OF PASSED

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH SMC, PUNE BEFORE SHRI R.S. SYAL, VICE PRESIDENT . / ITA NO.3101/PUN/2017 / ASSESSMENT YEAR : 2014-15 SUGAR CANE PRODUCERS VIVIDHA KARYAKARI SAH. SOCIETY LTD., MALINAGAR, TAL. MALSHIRAS, DIST. SOLAPUR PAN : AAFFS4023E VS. ITO, WARD-1(4), PANDHARPUR (APPELLANT) (RESPONDENT) / ORDER PER R.S.SYAL, VP : THIS APPEAL BY THE ASSESSEE IS ARISING OUT OF THE ORDER PASSED BY THE CIT(A)-7, PUNE, DATED 06-10-2017 IN RELATION TO THE A.Y. 2014-15. 2. THE ONLY ISSUE RAISED IN THIS APPEAL IS AGAINST THE DENIAL OF DEDUCTION U/S.80P OF THE INCOME-TAX ACT, 1961 (HEREIN AFTER APPELLANT BY SHRI S.N. DOSHI & SHRI RYA SHAH RESPONDENT BY SHRI RAJESH GAWLI DATE OF HEARING 12-11-2018 DATE OF PRONOUNCEMENT 13 -11-2018 ITA NO.3101/PUN/2017 SUGAR CANE PRODUCERS VIVIDHA KARYAKARI SAH. SOCIETY LTD., 2 ALSO CALLED `THE ACT) IN RESPECT OF INTEREST EARNED FROM NATIONALISED AND PRIVATE SECTOR BANKS. 3. I HAVE HEARD BOTH THE SIDES AND PERUSED THE RELEVAN T MATERIAL ON RECORD. SHORN OF UNNECESSARY DETAILS, IT IS OBSERVED THAT THE ASSESSEE EARNED INTEREST INCOME AMOUNTING TO RS.13,80,643/- ON CERTAIN INVESTMENTS/FDRS AND CLAIMED DEDUCTION U/S.80P OF THE ACT ON INTEREST INCOME AS WELL. TH E AO DENIED THE DEDUCTION ON INTEREST INCOME, WHICH VIEW CAME TO BE UPHELD IN THE FIRST APPEAL. IT IS OBSERVED THAT SIMILAR ISSUE WAS RAISED IN THE ASSESSEES APPEAL FOR THE IMMEDIA TELY PRECEDING ASSESSMENT YEARS 2012-13 AND 2013-14. VIDE ITS ORDER DATED 26-10-2018, THE TRIBUNAL IN ITA NOS.2537 & 2538/PUN/2017 HAS ALLOWED DEDUCTION ON INTEREST INCOME EARNED FROM INVESTMENTS IN FIXED DEPOSITS. A COPY OF SUCH ORDER HAS BEEN PLACED ON RECORD. THE TRIBUNAL HAS PASS ED THE ORDER AFTER CONSIDERING THE JUDGMENT OF HONBLE SUPREME COURT IN THE CASE OF TOTGARS COOPERATIVE SALE SOCIETY LTD. VS. ITO 322 ITR 283 (SC). THE LD. DEPARTMENTAL REPRESENTATIVE FAIRLY ADMITTED THAT THE FACTS AND CIRCUMSTANCES OF THE INSTANT APPEAL ARE MUTATIS MUTANDIS SIMILAR TO THOSE OF ITA NO.3101/PUN/2017 SUGAR CANE PRODUCERS VIVIDHA KARYAKARI SAH. SOCIETY LTD., 3 PRECEDING YEARS. RESPECTFULLY FOLLOWING THE VIEW TAKEN BY THE TRIBUNAL IN ASSESSEES OWN CASE FOR THE IMMEDIATELY PRECED ING ASSESSMENT YEARS, I OVERTURN THE IMPUGNED ORDER ON THIS SCORE AND ORDER TO GRANT DEDUCTION U/S.80P ON SUCH INTEREST INCOME. 4. IN THE RESULT, THE APPEAL IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 13 TH NOVEMBER, 2018. SD/- (R.S.SYAL) / VICE PRESIDENT PUNE; DATED : 13 TH NOVEMBER, 2018 / COPY OF THE ORDER IS FORWARDED TO : 1. / THE APPELLANT; 2. / THE RESPONDENT; 3. ( ) / THE CIT (APPEALS)-7, PUNE 4. / THE PR. CIT-6, PUNE 5. , , SMC / DR SMC, ITAT, PUNE; 6. / GUARD FILE. // TRUE COPY // / BY ORDER, // TRUE COPY // SENIOR PRIVATE SECRETARY , / ITAT, PUNE ITA NO.3101/PUN/2017 SUGAR CANE PRODUCERS VIVIDHA KARYAKARI SAH. SOCIETY LTD., 4 DATE 1. DRAFT DICTATED ON 12-11-18 2. DRAFT PLACED BEFORE AUTHOR 12-11-18 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER - 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER. - 5. APPROVED DRAFT COMES TO THE SR.PS/PS 12-11-18 6. KEPT FOR PRONOUNCEMENT ON 13-11-18 7. FILE SENT TO THE BENCH CLERK 13-11-18 8. DATE ON WHICH FILE GOES TO THE AR 9. DATE ON WHICH FILE GOES TO THE HEAD CLERK. 10. DATE OF DISPATCH OF ORDER. *