80P Deduction allowed on NPA Disallowance & Farmers’ Reserve Provisions

Koteshwara V.S.S. Bank Vs ITO (ITAT Bangalore) Deduction u/s 80P Allowed on Assessed Income Including Disallowance of NPA & Farmers’ Reserve Provisions -ITAT Bangalore The appeal was filed by Koteshwara VSS Bank, Udupi, a primary agricultural credit cooperative society, against NFAC’s order for AY 2017-18. The dispute concerned disallowance of ₹42.80 lakh being provisions for NPA (₹12.80 lakh) & Farmers’ Reserve (₹30 lakh). AO disallowed the provisions on the ground that they were unascertained liabilities, thereby increasing taxable income. NFAC confirmed the disallowance,...