Shir Dhokeshwar Gramin Bigarsheti Sahakari Patsanstha Maryadit, Ahmednagar V. Principal Commissioner of Income Tax, Pune-1, Pune

MA 258/PUN/2023

• Counselvise Citation: [2024] 101 COUNSELVISE.COM (IT) 6539 (ITAT-PUNE)
• Duration Of Justice: 9 month(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 11-06-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 14-03-2024
• Assessment Year: 2018-2019
• Appeal Filed On: 11-09-2023
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: GOPAL RANWLANI
• Keywords: Revision of order
• Section: 263; 80P

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH “A”, PUNE BEFORE SHRI R. K. PANDA, VICE PRESIDENT AND SHRI VINAY BHAMORE, JUDICIAL MEMBER MA No.258/PUN/2023 (Arising out of ITA No.86/PUN/2023) Assessment Year : 2018-19 Shri Dhokeshwar Gramin Bigarsheti Sahakari Patsanstha Maryadit 1, Takli Dhokeshwar, Parner, Ahmednagar – 414304 Vs. Pr.CIT, Pune-1 PAN : AACAS1229C (Assessee) (Respondent) Assessee by : Shri Prasad S Bhandari Department by : Shri Gopal Ranwlani Date of hearing : 07-06-2024 Date of pronouncement : 12-06-2024 O R D E R PER R. K. PANDA, VP : The assessee through this Miscellaneous Application has requested the Tribunal to rectify the order passed by it since the ground of appeal No.2 in respect of NPA provision of Rs.42,51,668/- debited in the Profit and Loss Account remained to be adjudicated. 2. The Ld. Counsel for the assessee drew the attention of the Bench to the written submissions filed by the assessee in support of the Miscellaneous Application which reads as under: 2 MA No.258/PUN/2023 “Written submission in case of Dhokeshwar Gramin Bigarsheti Sahakari Patsanstha Maryadit, MA No 258/PUNE/2023 for Assessment Year 2018-19 1. In our case, the Hon'ble bench has passed the order dated 24.03.2023 vide 1TA Nos.86/PUN/2023. This appeal was against the order of Respected Pr. CIT-1, Pune u/s 263 of the Act dated 13.01.2023 directing the Ld. Assessing Officer to verify the following two issues. A) Disallowance of deduction u/s 80P of the Act in respect of interest received of Rs.53,08,826 on the deposits made with Co-Operative Bank. B) Disallowance of NPA provision of Rs.42,51,668 debited to profit and loss account. 2. Accordingly, the assessee had raised the grounds in respect of both the above issues before the Hon'ble Bench and prayed for quashing the order u/s 263 dated 13.01.2023. 3. In the order of Hon'ble Bench, the Hon'ble Bench has quashed the order u/s 263 by discussing only the ground no 1 in respect of deduction u/s 80P. However, the decision on ground no 2 in respect of NPA provision of Rs. 42,51,668 debited to profit and loss account remained to be discussed. 4. The said ground no 2 of NPA provision is covered by the decision of the Hon'ble Co-ordinate Bench in the case of Pune Zilha Madhyawarti Sahakari Bank Sevakanchi Sahakari Patsanstha Maryadit, ITA no.742/PUN/2022 dated 20.01.2023. The copy of the said order was attached with the MA application. 5. Thus, in the light of the above decision, the assessee is eligible for deduction under section 80P for enhanced profit after dis-allowance of NPA provision of Rs.42,51,668. Accordingly, the Hon'ble Bench is kindly requested to quashed the order u/s 263 in respect of ground no 2 also in relation to NPA provision.” 3. The Ld. DR on the other hand, fairly conceded that ground of appeal No.2 raised by the assessee in the appeal filed by the assessee has not been adjudicated. 4. We have heard the rival arguments made by both the sides. We find the assessee in the grounds of appeal challenging the order passed u/s 263 of the Income Tax Act, 1961 has raised the following grounds: 1. On the facts and in the prevailing circumstances of the case, respected PCIT – Pune -1 erred in passing the impugned Revision Order under section 263 without appreciating the fact that interest on the deposits made by a co-operative society with the co-operative Bank is eligible for 3 MA No.258/PUN/2023 deduction under section 80P of the Act. Hence, the impugned order under section 263 may please be quashed. 2. On the facts and in the prevailing circumstances of the case, respected PCIT – Pune -1 erred in passing the impugned Revision Order under section 263 without appreciating the fact that Chapter VI-A Deductions are allowed if Profit enhanced due to disallowances. Hence, the impugned order under section 263 may please be quashed. 3. On the facts and in the prevailing circumstances of the case, respected PCIT – Pune -1 erred in passing the impugned Revision Order under section 263 without appreciating the submission made by the assessee society. Hence, the impugned order under section 263 may please be quashed. 4. The Appellant craves the permission to add, amend, modify, alter, revise, substitute, delete any or all grounds of the appeal, if deemed necessary at the time of hearing of the appeal. 5. However, the Tribunal while passing the order has not adjudicated the ground of appeal No.2 raised by the assessee. We, therefore, deem it proper to recall the order of the Tribunal for the limited purpose of adjudicating ground of appeal No.2. The Registry is directed to issue notice for hearing in regular course. The Miscellaneous Application filed by the assessee is accordingly allowed in the terms indicated above. 6. In the result, the Miscellaneous Application filed by the assessee is allowed. Order pronounced in the open Court on 12 th June, 2024. Sd/- Sd/- (VINAY BHAMORE) (R. K. PANDA) JUDICIAL MEMBER VICE PRESIDENT प ु णे Pune; दिन ांक Dated : 12 th June, 2024 GCVSR 4 MA No.258/PUN/2023 आदेश की प्रतितिति अग्रेतिि/Copy of the Order is forwarded to: 1. अपीलार्थी / The Appellant; 2. प्रत्यर्थी / The Respondent 3. 4. The concerned Pr.CIT, Pune DR, ITAT, ‘A’ Bench, Pune 5. गार्ड फाईल / Guard file. आदेशानुसार/ BY ORDER, // True Copy // Senior Private Secretary आयकर अपीलीय अधिकरण ,पुणे / ITAT, Pune S.No. Details Date Initials Designation 1 Draft dictated on 11.06.2024 Sr. PS/PS 2 Draft placed before author 11.06.2024 Sr. PS/PS 3 Draft proposed & placed before the Second Member JM/AM 4 Draft discussed/approved by Second Member AM/AM 5 Approved Draft comes to the Sr. PS/PS Sr. PS/PS 6 Kept for pronouncement on Sr. PS/PS 7 Date of uploading of Order Sr. PS/PS 8 File sent to Bench Clerk Sr. PS/PS 9 Date on which the file goes to the Head Clerk 10 Date on which file goes to the A.R. 11 Date of Dispatch of order