The Income Tax Officer, Ward-1(2), Panaji., Panaji V. M/s Goa PWD Staff Co-op. Credit Society Ltd., Panaji

ITA 343/PAN/2016

• Counselvise Citation: [2017] 128 COUNSELVISE.COM (IT) 7503 (ITAT-PANAJI)
• Duration Of Justice: 3 month(s) 2 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-03-2017
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2013-2014
• Appeal Filed On: 26-12-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SHIVENDRA GUPTA
• Assessee Lawyers: RAGHU K PIKALE
• Keywords: Question of law

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PANAJI BENCH, PANAJI BEFORE SHRI P.K.BANSAL, HON'BLE ACCOUNTANT MEMBER SHRI GEORGE MATHAN, HONBLE JUDICIAL MEMBER ITA NO. 343/ PAN /201 6 (ASST. YEAR : 201 3 1 4 ) INCOME TAX OFFICER WARD 1(2), AAYAKAR BHAWAN PLOT NO.5, EDC COMPLEX PATTO PLAZA PANAJI 403 001 V. M /S. GOA PWD STAFF CO - OPERATIVE CREDIT SOCIETY LTD., PWD BUILDING, ALTINHO, PANAJI GOA PAN NO. AABAG 5329 G (APPELLANT) (RESPONDENT) ASSESSEE BY : RAGHU K. PIKALE, - CA DEPARTMENT BY : SHRI SHIVENDRA GUPTA - D R DATE OF HEARING : 2 8 /03/2017 . DATE OF PRONOUNCEMENT : 2 8 /03/2017 . O R D E R PER GEORGE MATHAN, JUDICIAL MEMBER 1 . TH IS IS AN APPEAL FILED BY THE REVENUE AGAINST THE ORDER OF THE LEARNED CIT(A) PANAJI - I IN APPEAL NO ITA.NO. 273 /CIT(A)/PNJ - 1/15 - 16 DATED 1 9/09/2016 FOR THE ASSESSMENT YEAR 201 3 1 4 . 2 . SHRI R AGHU K PIKALE, CA REPRESENTED ON BEHALF O F THE ASSESSEE AND SHRI SHIVENDRA GUPTA REPRESENTED ON BEHALF OF THE REVENUE. 3 . AT THE TIME OF HEARING IT WAS FAIRLY AGREED BY BOTH THE SIDES THAT THE ISSUES IN THE APPEAL BEING AGAINST THE ACTION OF THE LEARNED CIT(A) IN GRANTING THE ASSESSEE THE BENEFIT OF DEDUCTION UNDER SECTION 80P ( 2 )( A )(I) WAS SQUAREL Y COVERED BY THE DECISION OF THE HONBLE 2 ITA NO. 343/ PAN /201 6 M/S. GOA PWD STAFF CO - OPERATIVE CREDIT SOCIETY LTD., JURISDICTIONAL HIGH COURT OF BOMBAY AT GOA IN ASSESSEE OWN CASE IN T A X APPEAL NO . 73 OF 2015 WHEREIN THE HONBLE JURISDICTIONAL HIGH COURT HAS ALLOWED AS FOLLOWS: - 7. TAKING NOTE OF THE ABOVE OBSERVATIONS, IT IS CLEARLY HELD THEREIN THAT UNLESS AND UNTIL THE SAID THREE CONDITIONS ARE CUMULATIVELY SATISFIED, THE QUESTION OF HOLDING THAT SUCH SOCIETY IS A CO - OPERATIVE BANK WOULD NOT ARISE AT ALL. IN THE PRESENT CASES, I T IS NOT DISPUTED THAT THE THIRD CONDITION THAT THE BYE LAWS SHOULD NOT PERMIT ADMISSION OF ANY OTHER CO - OPERATIVE SOCIETY AS ITS MEMBER IS NOT AT ALL SATISFIED. IN ANY EVENT, THE FACT FINDING AUTHORITIES AFTER EXAMINING THE MATERIAL ON RECORD HAVE CONCUR RENTLY COME TO THE CONCLUSION THAT THE RESPONDENTS' SOCIETIES ARE NOT BANKS BUT CO OPERATIVE SOCIETIES AND AS SUCH THEY ARE ENTITLED FOR EXEMPTION IN TERMS OF SECTION 80P(2)(A)(I) OF THE SAID ACT. THE FINDINGS OF FACT ARRIVED AT BY THE AUTHORITIES BELOW CA NNOT BE INTERFERED BY THIS COURT IN THE PRESENT APPEALS UNLESS THERE IS PERVERSITY IN SUCH FINDINGS. THE LEARNED COUNSEL APPEARING FOR THE APPELLANT HAS, NOT POINTED OUT ANY MATERIAL WHICH HAS NOT CONSIDERED OR THAT THERE IS ANY .MISREADING OF THE EVIDENCE WHILST, COMING TO SUCH CONCLUSIONS. THE CONTENTION OF MS. A. DESAI, LEARNED COUNSEL APPEARING FOR THE APPELLANT THAT IN VIEW OF THE DEFINITION OF THE WORD 'INCOME' AS PROVIDED IN SECTION 2(24)(VIIA), THE RESPONDENTS' SOCIET IES ARE TO BE TREATED AS A BANK CANNOT BE ACCEPTED THIS ASPECT HAS ALSO BEEN TAKEN NOTE BY THE DIVISION BENCH WHILE DISPOSING OF THE SAID APPEALS IN THE CASE OF M/S. THE QUEPEM URBAN CO - OPERATIVE CREDIT SOCIETY LTD., (SUPRA ). 8. TAKING NOTE OF THE OBSERVATIONS IN THE SAID JUDGMENT IN THE CASE OF M/S. THE QUEPEM URBAN CO - OPERATIVE CREDIT SOCIETY LTD., (SUPRA) TO THE EFFECT THAT MERELY GIVING 3 ITA NO. 343/ PAN /201 6 M/S. GOA PWD STAFF CO - OPERATIVE CREDIT SOCIETY LTD., CREDIT FACILITIES TO THE MEMBERS WOULD NOT BE A CO - OPERATIVE BANK BUT CONTINUED TO BE A CO - OPERATIVE SOCIETY AND AS THERE IS NO MATERIAL ON RECORD THAT THE RESPONDENTS WERE GIVING ANY SUCH CREDIT FACILITIES TO THE NON MEMBERS, WE FIND THAT THE OBSERVATIONS IN THE SAID JUDGMENT IN THE CASE OF M/S. THE QUEPEM URBAN CO - OPERATIVE CREDIT SOCIETY LTD., (SUPRA ) WOULD BE SQUARELY APPLICABLE TO THE FACTS OF THE PRESENT CASE. AS SUCH, AS NO OTHER CONTENTIONS HAVE BEEN RAISED BY THE LEARNED COUNSEL APPEARING FOR THE APPELLANT, WE FIND THAT THE PROPOSED SUBSTANTIAL QUESTIONS OF LAW TO THAT EFFECT WOULD NOT SURVIVE AND DOES NOT REQUIRE ANY FURTHER CONSIDERATION. FOR THE REASONS STATED IN THE SAID JUDGMENT IN THE CASE OF M/S, THE QUEPEM URBAN CO - OPERATIVE CREDIT SOCIETY LTD., (SUPRA ), WE FIND THAT THERE IS NO SUBSTANTIAL QUESTION OF LAW. WHICH ARISES IN THE PRESENT APPEALS FOR CONSIDERATION. THE APPEALS STAND ACCORDINGLY REJECTED . 4 . WE HAVE CONSIDERED THE SUBMISSIONS. AS IT IS NOTICED THAT THE ISSUE IN THE REVENUE APPEAL IS SQUARELY COVERED BY THE DECISION OF THE HONBLE JURISDICTIONAL HIGH COURT OF BOMBAY AT GOA IN THE ASSESSEES OWN CASE REFERRED (SUPRA). THE FINDINGS OF THE LEARNED CIT(A) ON THIS ISSUE STANDS CONFIRMED. APPEAL OF THE REVENUE STANDS DISMISSED. 5 . IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE COURT AT THE CLOSE OF THE HEARING ON TUES DAY , THE 2 8 TH DAY OF MARCH, 2017 AT GOA . SD/ - SD/ - (P.K.BANSAL) (GEORGE MATHAN) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED : 2 8 TH MARCH, 2017 . VSSGB / - 4 ITA NO. 343/ PAN /201 6 M/S. GOA PWD STAFF CO - OPERATIVE CREDIT SOCIETY LTD., 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