ITO, Cuddalore V. NLC Employees Co-operative Thrift & Credit Society Ltd., Neyveli

ITA 3252/CHNY/2016

• Counselvise Citation: [2017] 130 COUNSELVISE.COM (IT) 7680 (ITAT-CHENNAI)
• Duration Of Justice: 3 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-02-2017
• Appeal Filed By: Department
• Bench Allotted: C
• Assessment Year: 2012-2013
• Appeal Filed On: 28-11-2016
• Court: TRIBUNAL
• Department Lawyers: A V SREEKANTH
• Assessee Lawyers: N V BALAJI
• Section: 143(3); 142(1)

Judgement Text

, , IN THE INCOME - TAX APPELLATE TRIBUNAL C BENCH, CHENNAI . , . , BEFORE SHRI M. BALAGANESH , ACCOUNTANT MEMBER & SHRI DUVVURU RL REDDY, J UDICIAL MEMBER ./ I.T.A. NO. 32 52 /MDS/201 6 / ASSESSMENT YEAR :20 1 2 - 1 3 THE INCOME TAX OFFICER, WARD 2 , C UDDALORE. VS. NLC EMPLOYEES COOPERATIVE THRIFT & CREDIT SOCIETY LTD., NO. 12, NORTH PROMENADE STREET, BLOCK 12, NEYVELI 60 7 803. [PAN:AA AAN5694C ] ( / APPELLANT ) ( / RESPONDENT ) / APPELLANT BY : SHRI A.V. SREEKANTH, JCIT / RESPONDENT BY : SHRI N.V. BALAJI, ADVOCATE / DATE OF HEARING : 15 . 02 .201 7 / DATE OF P RONOUNCEMENT : 28 . 02 .201 7 / O R D E R PER DUVVURU RL REDDY , JUDICIAL MEMBER : THIS APPEAL FILED BY THE REVENUE IS DIRECTED AGAINST THE ORDER OF THE LD. COMMISSIONER OF INCOME TAX (APPEALS), PUDUCHERRY, DATED 12.09.2016 RELEVANT TO THE ASSESSMENT YEAR 2012 - 13. THE REVENUE HAS RAISED NINE GROUNDS IN ITS APPEAL, HOWEVER, THE CRUX OF THE ISSUE IS THAT THE LD. CIT(A) HAS ERRED IN ALLOWING DEDUCTION UNDER SECTION 80P(2)(A)(I) OF THE INCOME TAX ACT, 1961 [ ACT IN S HORT]. I.T.A . NO . 32 52 /M/ 1 6 2 2. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE SOCIETY FILED ITS RETURN OF INCOME ON 15.09.2012 ADMITTING TOTAL INCOME OF . NIL AFTER CLAIMING .3,29,89,232/ - AS DEDUCTION. THE RETURN FILED BY THE ASSESSEE WAS PROCESSED UNDER SECTION 143(1) OF THE ACT. THE CASE OF THE ASSESSEE WAS SELECTED FOR SCRUTINY AND NOTICE UNDER SECTION 143(2) OF THE ACT WAS ISSUED ON 13 .0 8.2013 . SUBS EQUENTLY, NOTICE UNDER SECTION 142(1) OF THE ACT WAS ALSO ISSUED ON 10.11.2014 TO THE ASSESSEE. IN RESPONSE THERETO, THE ASSESSEE FILED ALL DETAILS AS CALLED FOR. AFTER VERIFICATION OF THE DETAILS FILED BY THE ASSESSEE, THE ASSESSING OFFICER HAS COMPLETED THE ASSESSMENT UNDER SECTION 143(3) OF THE ACT BY DISALLOWING THE CLAIM OF DEDUCTION UNDER SECTION 80P(2) OF THE ACT. 3. ON APPEAL, BY FOLLOWING THE DECISION OF THE TRIBUNAL IN ASSESSEE S OWN CASE FOR THE ASSESSMENT YEARS 2007 - 08 TO 2010 - 11 IN I.T.A. NOS . 2148 TO 2151/MDS/2014 DATED 12.12.2014, THE LD. CIT(A) DIRECTED THE ASSESSING OFFICER TO ALLOW THE DEDUCTION UNDER SECTION 80P OF THE ACT TO THE ASSESSEE. . 4. AGGRIEVED, THE REVENUE IS IN APPEAL BEFORE THE TRIBUNAL AND THE LD. DR HAS MAINLY CONTENDED THAT AGAINST THE ABOVE DECISION OF THE TRIBUNAL, WHICH WAS FOLLOWED BY THE LD. CIT(A), THE DEPARTMENT HAS I.T.A . NO . 32 52 /M/ 1 6 3 PREFERRED AN APPEAL BEFORE THE HON BLE MADRAS HIGH COURT AND THEREFORE PLEADED THAT THE ORDER OF THE LD. CIT(A) SHOULD BE REVERTED. 5. ON THE OTHE R HAND, THE LD. COUNSEL FOR THE ASSESSEE HAS SUBMITTED THAT AGAINST THE ORDER OF THE TRIBUNAL, THE APPEALS FILED BY THE DEPARTMENT IN ASSESSEE S OWN CASE HAVE BEEN ADJUDICATED AGAINST THE REVENUE BY THE HON BLE MADRAS HIGH COURT VIDE ITS ORDER IN TCA NOS. 7 86 TO 789 OF 2015 DATED 1 0.0 8 .2016. THUS, HE PRAYED THAT THE APPEAL FILED BY THE REVENUE SHOULD BE DISMISSED. 6. WE HAVE HEARD BOTH SIDES, PERUSED THE MATERIALS AVAILABLE ON RECORD AND GONE THROUGH THE ORDERS OF AUTHORITIES BELOW. BEFORE US, BOTH PARTIES HAVE AGREED THAT THE ASSESSEE IS ELIGIBLE TO CLAIM DEDUCTION UNDER SECTION 80P(2)(A)(I) OF THE ACT IN VIEW OF THE ABOVE DECISIONS OF THE HON BLE JURISDICTIONAL HIGH COURT. WHILE DECIDING THE APPEALS FILED BY THE REVENUE AGAINST THE ORDER OF THE TRIBUNAL DATED 12.12.2014 FOR THE ASSESSMENT YEARS 2007 - 08 TO 2010 - 11 IN ASSESSEE S OWN CASE, THE HON BLE JURISDICTIONAL HIGH COURT HAS FOLLOWED ITS OWN ORDER IN TCA NOS. 735, 755 OF 2014 AND 460 OF 2015 DATED 05.07.2016, WHEREIN, IT WAS SPECIFICALLY DIRECTED THE ASSESSING AUTHORITY TO GRANT THE BENEFIT TO THE ASSESSEE AVAILABLE UNDER SECTION I.T.A . NO . 32 52 /M/ 1 6 4 80P(2)(A)(I) OF THE ACT. RESPECTFULLY FOLLOWING THE ABOVE DECISION OF THE HON BLE HIGH COURT, THE GROUND RAISED IN THE A PPEAL OF THE REVENUE IS DISMISSED. 7. IN THE RESULT, THE APPEAL OF REVENUE IS DISMISSED. ORDER PRONOUNCED ON THE 28 TH FEBRUARY , 201 7 AT CHENNAI. SD/ - SD/ - ( M. BALAGANESH ) ACCOUNTANT MEMBER ( DUVVURU RL REDDY ) JUDICIAL MEMBER CHENNAI, DATED, THE 28 . 0 2 .201 7 VM/ - / COPY TO: 1. / APPELLANT , 2. / RESPONDENT , 3. ( ) / CIT(A) , 4. / CIT , 5. / DR & 6. / GF.