Co-op Society’s Demonetization Deposits Not Unexplained Income: ITAT Pune

Bhagur Urban Credit Co-operative Society Ltd. Vs ITO (ITAT Pune) The ITAT Pune bench has ruled in favor of Bhagur Urban Credit Co-operative Society Ltd., deleting an addition of Rs. 1,78,500 made by the Income Tax Officer (ITO) under Section 68 of the Income-tax Act, 1961. The dispute arose during the assessment year 2017-18 when the assessee, a cooperative society, was scrutinized for depositing large sums in old currency notes during the demonetization period. The assessee provided details of 15 members from whom the deposits were received, totaling Rs. 1,78,500 between November 9-11, 2016. ...