Bangalore ITAT Allows 80P Deduction on Bank Interest to Credit Co-op Society

Kundapura Vyavasaya Seva Sahakari Sangha Vs ITO (ITAT Bangalore) Bangalore ITAT Slams Denial of U/s 80P Deduction to Credit Co-operative Society – Interest on Bank Deposits Held Eligible U/s 80P(2)(a)(i), Ad-hoc Disallowance of Provisions Also Deleted The Bangalore ITAT allowed the appeals of a primary agricultural credit co-operative society and held that interest earned on deposits kept with banks out of business funds/reserves is eligible for deduction u/s 80P(2)(a)(i) where the society is engaged in providing credit facilities to its members. The Tribunal noted that the assessee had ...