ACIT, CIR-1, JALPAIGURI, Jalpaiguri V. The Jalpaiguri Central Co-operative Bank Ltd., Jalpaiguri

ITA 397/KOL/2015

• Counselvise Citation: [2017] 128 COUNSELVISE.COM (IT) 1636 (ITAT-KOLKATA)
• Duration Of Justice: 2 year(s) 2 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-06-2017
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2008-2009
• Appeal Filed On: 10-04-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 143(3); 154

Judgement Text

I.T.A. NOS. 397 & 398/KOL./2015 ASSESSMENT YEARS: 2008-2009 & 2009-2010 PAGE 1 OF 3 IN THE INCOME TAX APPELLATE TRIBUNAL, KOLKATA B BENCH, KOLKATA BEFORE SHRI P.M. JAGTAP, ACCOUNTANT MEMBER AND SHRI S.S. VISWANETHRA RAVI, JUDICIAL MEMBER I.T.A. NOS. 397 & 398/KOL/ 2015 ASSESSMENT YEARS: 2008-2009 & 2009-2010 ASSISTANT COMMISSIONER OF INCOME TAX,.............. .......................APPELLANT CIRCLE-1, JALPAIGURI, C.R. BUILDING, GROUND FLOOR, RACE COURSE PARA, NAYA BASTI, JALPAIGURI-735 101 -VS.- THE JALPAIGURI CENTRAL COOPERATIVE BANK LIMITED,... ................RESPONDENT TEMPLE STREET, JALPAIGURI-735 101 [PAN: AAABT 2597 B] APPEARANCES BY: SHRI DINABANDHU NASKAR, ADDITIONAL CIT(D.R.), FOR T HE DEPARTMENT N O N E, FOR THE ASSESSEE DATE OF CONCLUDING THE HEARING : JUNE 21, 2017 DATE OF PRONOUNCING THE ORDER : JUNE 21, 2017 O R D E R PER SHRI P.M. JAGTAP, A.M. : THESE TWO APPEALS PREFERRED BY THE REVENUE ARE DIRE CTED AGAINST THE ORDER OF LD. COMMISSIONER OF INCOME TAX (APPEAL S), JALPAIGURI DATED 27.02.2015 PASSED FOR ASSESSMENT YEARS 2008-09 AND 2009-10. 2. THE RELEVANT FACTS OF THE CASE GIVING RISE TO TH ESE APPEALS ARE THAT THE ASSESSMENTS IN THE CASE OF THE ASSESSEE FOR BOT H THE YEARS UNDER CONSIDERATION, I.E. A.Y. 2008-09 AND 2009-10 WERE C OMPLETED BY THE ASSESSING OFFICER UNDER SECTION 143(3) BY TAKING TH E STATUS OF THE ASSESSEE AS A COOPERATIVE SOCIETY. SUBSEQUENTLY IT WAS NOTICED BY THE ASSESSING OFFICER THAT ITS STATUS WAS MENTIONED BY THE ASSESSEE AS AOP IN THE RETURNS OF INCOME FILED FOR BOTH THE YEARS U NDER CONSIDERATION. HE ACCORDINGLY ISSUED NOTICES UNDER SECTION 154 AND PA SSED THE RECTIFICATION I.T.A. NOS. 397 & 398/KOL./2015 ASSESSMENT YEARS: 2008-2009 & 2009-2010 PAGE 2 OF 3 ORDERS DATED 11.09.2014 CHANGING THE STATUS OF THE ASSESSEE FROM THE COOPERATIVE SOCIETY TO AOP. 3. AGAINST THE ORDERS PASSED BY THE ASSESSING OFFIC ER UNDER SECTION 154, APPEALS WERE PREFERRED BY THE ASSESSEE BEFORE THE LD. CIT(APPEALS). DURING THE COURSE OF APPELLATE PROCEEDINGS BEFORE T HE LD. CIT(APPEALS), IT WAS SUBMITTED BY THE ASSESESE THAT ITS STATUS IS A COOPERATIVE SOCIETY BUT THE SAME WAS MENTIONED WRONGLY IN THE RETURNS OF IN COME FOR THE YEARS UNDER CONSIDERATION AS AOP INSTEAD OF A COOPERATIVE SOCIETY. IT WAS ALSO POINTED OUT BY THE ASSESSEE THAT ITS STATUS WAS CON TINUOUSLY TAKEN AS A COOPERATIVE SOCIETY BY THE INCOME TAX DEPARTMENT IN OTHER YEARS. AFTER CONSIDERING THIS SUBMISSION MADE BY THE ASSESSEE, T HE LD. CIT(APPEALS) DECIDED THE ISSUE VIDE PARAGRAPH NO. 4 OF HIS IMPU GNED ORDER AS UNDER:- IT IS SEEN THAT THE ASSESSEE IS TREATED AS COOPERA TIVE SOCIETY BY INCOME TAX DEPARTMENT IN ALL OTHER AYS. ASSESSEE HAS BEEN ISSUED BANKING LICENSE BY RBI IN HIS STATUS AS COOP ERATIVE SOCIETY. THE MOMENT THE ASSESSEE CEASES TO BE A COO PERATIVE SOCIETY, THE LICENSE WILL LAPSE. IT IS PURELY A MIS TAKE WHILE PREPARING THE RETURN OF INCOME THAT THE STATUS IS M ENTIONED AS AOP. THE AO IS DIRECTED TO CALL FOR THE DETAILS FROM THE ASSESSEE ABOUT HIS STATUS AND TREAT THE ASSESSEE AS PER THE STATUS MENTIONED IN THE DOCUMENTS. THE APPEAL OF TH E ASSESSEE IS PARTLY ALLOWED. AGGRIEVED BY THE ORDER OF THE LD. CIT(APPEALS), THE REVENUE HAS PREFERRED THESE APPEALS BEFORE THE TRIBUNAL. 4. AT THE TIME OF HEARING BEFORE US, NONE HAS APPEA RED ON BEHALF OF THE ASSESSEE. THESE APPEALS OF THE REVENUE ARE, THEREFO RE, BEING DISPOSED OF EX-PARTE QUA THE RESPONDENT-ASSESSEE AFTER HEARING THE ARGUMENT S OF THE LD. D.R. AND PERUSING THE RELEVANT MATERIAL AVAILAB LE ON RECORD. IT IS OBSERVED THAT THE LD. CIT(APPEALS) VIDE HIS IMPUGNE D ORDER HAS DIRECTED THE ASSESSING OFFICER TO VERIFY THE CLAIM OF THE AS SESSEE REGARDING ITS STATUS BEING A COOPERATIVE SOCIETY BY CALLING FOR T HE RELEVANT DETAILS AND DOCUMENTS FROM THE ASSESSEE AND VERIFYING THE SAME. THE LD. CIT(APPEALS) THUS HAS ACTUALLY NOT DECIDED THE ISSU E RELATING TO THE I.T.A. NOS. 397 & 398/KOL./2015 ASSESSMENT YEARS: 2008-2009 & 2009-2010 PAGE 3 OF 3 DETERMINATION OF THE STATUS OF THE ASSESSEE VIDE HI S IMPUGNED ORDER AND DIRECTED THE ASSESSING OFFICER TO DECIDE THE SAME A FTER VERIFYING THE RELEVANT DETAILS AND DOCUMENTARY EVIDENCE. IN OUR O PINION, THE REVENUE THUS CANNOT BE SAID TO HAVE ANY REAL GRIEVANCE ARIS ING FROM THE IMPUGNED ORDER OF THE LD. CIT(APPEALS) AND EVEN THE LD. D.R. HAS FAIRLY AND FRANKLY ADMITTED THE SAME, WE, THEREFORE, FIND NO INFIRMITY IN THE IMPUGNED ORDER OF THE LD. CIT(APPEALS) AND UPHOLDING THE SAME, WE DISMISS THESE APPEALS FILED BY THE REVENUE. 5. IN THE RESULT, BOTH THE APPEALS OF THE REVENUE A RE DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON JUNE 21, 2017 . SD/- SD/- (S.S. VISWANETHRA RAVI) (P.M. JAGTAP) JUDICIAL MEMBER ACCOUNTANT ME MBER KOLKATA, THE 21 ST DAY OF JUNE, 2017 COPIES TO : (1) ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE-1, JALPAIGURI, C.R. BUILDING, GROUND FLOOR, RACE COURSE PARA, NAYA BASTI, JALPAIGURI-735 101 (2) THE JALPAIGURI CENTRAL COOPERATIVE BANK LIM ITED, TEMPLE STREET, JALPAIGURI-735 101 (3) COMMISSIONER OF INCOME TAX (APPEALS), JALPAIGU RI; (4) COMMISSIONER OF INCOME TAX ,KOLKAT A (5) THE DEPARTMENTAL REPRESENTATIVE (6) GUARD FILE BY ORDER SENIOR PRIVATE SECRETARY, HEAD OF OFFICE/DDO INCOME TAX APPELLATE TRIBUNAL, KOLKATA BENCHES, KOLKATA LAHA/SR. P.S.