Yashwantbhau Patil Gramin Bigarsheti Sahakari Patsanstha Ltd, Solapur V. Income-tax Officer, Ward - 2, Pandharpur

ITA 689/PUN/2018

• Counselvise Citation: [2019] 118 COUNSELVISE.COM (IT) 6747 (ITAT-PUNE)
• Duration Of Justice: 9 month(s) 5 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-01-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2014-2015
• Appeal Filed On: 16-04-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: S N PURANIK SHRI RAJESH GAWALI
• Section: 143(3); 234B; 80P

Judgement Text

- IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH SMC , PUNE , , BEFORE MS. SUSHMA CHOWLA, JM AND SHRI ANIL CHATURVEDI , AM . / ITA NO. 689 /P U N/201 8 / ASSESSMENT YEAR : 20 14 - 15 YASHWANTBHAU PATIL GRAMIN BIGERSHETI SAHAKARI PATS ANSHTA LTD. , BHOSE, TAL PANDHARPUR, SOLAPUR - 413315 . / APPELLANT PAN: A AA BY0026E VS. THE INCOME TAX OFFICER, WAD 2 , PANDHARPUR . / RESPONDENT / APPELLANT BY : SHRI S.N. PURANIK / RESPONDENT BY : SHRI RAJESH GAWALI / DATE OF HEARING : 02 . 0 1 .201 9 / DATE OF PRONOUNCEMENT: 21 . 0 1 .201 9 / ORDER PER SUSHMA CHOWLA, J M : THE APPEAL FILED BY ASSESSEE IS AGAINST ORDER OF CIT (A) - 7 , PUNE , DATED 18 . 0 1 .201 8 RELATING TO ASSESSMENT YEAR 20 14 - 15 AGAINST ORDER PASSED UNDER SECTION 143(3) OF THE INCOME - TAX AC T , 1961 (IN SHORT THE ACT) . 2. THE ASSESSEE HAS RAISED THE FOLLOWING GROUND S OF APPEAL: - 1. CIT(A) HAS ERRED IN NOT GRANTING DEDUCTION U/S 80P FOR INTEREST ON BANK DEPOSITS WITH NATIONALIZED BANKS, APPELLANT PRAYS TO ALLOW THE SAME. ITA NO. 689 /P U N/201 8 YASHWANTBHAU PATIL GRAMIN BIGERSHETI SAH. PATS ANSTHA LTD. 2 2. CIT(A) HAS ERRED IN NOT FOLLOWING THE BINDING ORDER OF PUNE ITAT ON THE ISSUE AND REJECTING APPELLANT CLAIM. 3. APPELLANT CLAIM FOR JUST AND EQUITABLE RELIEF. 4. APPELLANT PRAYS FOR AWARDING COST FOR CIT(A) NOT FOLLOWING PUNE ITAT DECISION. 5. APPELLANT PRAYS FOR DELET ION OF INTEREST U/S 234B 3. THE LEARNED AUTHORIZED REPRESENTATIVE FOR THE ASSESSEE AT THE OUTSET POINTED OUT THAT THE ISSUE RAISED IN THE PRESENT APPEAL IS SQUARELY COVERED BY THE ORDERS OF PUNE BENCH OF TRIBUNAL IN ASSESSEES OWN CASE. 4. THE LEARNED DE PARTMENTAL REPRESENTATIVE FOR THE REVENUE PLACED RELIANCE ON THE ORDERS OF AUTHORITIES BELOW. 5. WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE RECORD. BRIEFLY, IN THE FACTS OF THE CASE, THE ASSESSEE WAS CREDIT CO - OPERATIVE SOCIETY ENGAGED IN THE AC TIVITY OF ACCEPTING DEPOSITS FROM MEMBERS AND GIVING ADVANCES TO ITS MEMBERS. THE ASSESSEE FILED RETURN OF INCOME DECLARING TOTAL INCOME AT NIL ON 29.11.2014. THE CASE OF ASSESSEE WAS SELECTED FOR SCRUTINY UNDER CASS AND THE ASSESSING OFFICER WAS OF THE VIEW THAT THE INTEREST ON THE INVESTMENTS MADE BY ASSESSEE WITH NATIONALIZED BANKS AMOUNTING TO 20,63,207/ - WAS NOT ELIGIBLE FOR DEDUCTION UNDER SECTION 80P OF THE ACT. ACCORDINGLY, THE SAME HAS BEEN DISALLOWED AND ADDED TO THE TOTAL INCOME OF THE ASSESSEE. THE CIT(A) UPHELD THE ORDER OF ASSESSING OFFICER. 6. ON PERUSAL OF RECORD, IT TRANSPIRES THAT THE ISSUE RAISED IN THE PRESENT APPEAL IS SQUARELY COVERED BY THE ORDER OF TRIBUNAL IN ASSESSEES OWN CASE IN ITA NO.705/PUN/2017, RELATING TO ASSESSMENT YEAR 2012 - 13, ORDER DATED 18.05.2018, WHEREIN THE TRIBUNAL HAS IN TURN, RELIED ON VARIOUS ORDERS OF TRIBUNAL AND HELD THAT THE ASSESSEE IS ENTITLED TO CLAIM THE BENEFIT UNDER ITA NO. 689 /P U N/201 8 YASHWANTBHAU PATIL GRAMIN BIGERSHETI SAH. PATS ANSTHA LTD. 3 SECTION 80P OF THE ACT ON THE INTEREST INCOME EARNED FROM NATIONALIZED BANKS. THE RELEVANT FINDINGS OF TRIBUNAL ARE VIDE PARAS 13 TO 17 OF THE ORDER, WHICH ARE BEING REFERRED TO AND ARE NOT BEING REPRODUCED FOR THE SAKE OF BREVITY. THE SAID DECISION HAS FURTHER BEEN FOLLOWED IN ASSESSEES OWN CASE RELATING TO ASSESSMENT YEAR 2013 - 14 IN ITA NO.2107/PUN/2017, ORDER DATED 13.11.2018. FOLLOWING THE SAME PARITY OF REASONING, WE HOLD THAT THE ASSESSEE IS ENTITLED TO CLAIM THE BENEFIT UNDER SECTION 80P OF THE ACT ON THE INTEREST INCOME EARNED ON FDS FROM NATIONALIZED BANKS. HENCE, THE GROUND OF APPEAL RAISED BY THE ASSESSEE IS ALLOWED. 7 . IN THE RESULT, THE APPEAL OF ASSESSEE IS ALLOWED. ORDER PRONOUNCED ON THIS 21 ST DAY OF JANUARY , 201 9 . SD/ - SD/ - (ANIL CHATURVEDI) (SUSHMA CHOWL A ) / ACCOUNTANT MEMBER / JUDICIAL MEMBER / PUNE ; DATED : 21 ST JANUARY , 201 9 . GCVSR / COPY OF THE ORDER IS FORWARDED TO : 1. / THE APPELLANT ; 2. / THE RESPONDENT; 3. ( ) / THE CIT(A) - 7 , PUNE ; 4. THE PR. CIT - 6 , PUNE ; 5. 6. , , , - / DR SMC , ITAT, PUNE; / GUARD FILE . / BY ORDER , // TRUE COPY // / SR. PRIVATE SECRETARY , / ITAT, PUNE