Charkop Lands End Co-operative Housing Society Ltd Vs ITO (ITAT Mumbai)
ITAT Mumbai held that interest derived from deposits with co-operative banks is allowable as deduction under section 80P(2)(d) of the Income Tax Act to the co-operative society.
Facts- The appellant Charkop Lands End Co-operative Housing Society Ltd. filed its return of income for A.Y. 2020-21 on 30.12.2020, declaring a total income at 2,80,303/-. The return was processed u/s. 143(1) of the Act on 25.11.2021, determining the total income at Rs. 6,75,160/-, after making disallowance of Rs. 3,94,856/- claimed by assessee u/s. 80P(2)(d) of the Act.
CIT(A) dismissed the appeal. Being aggrieved, the present appeal is filed.
Conclusion- Held that assessee’s investee co-operative Banks are thus co-operative societies in the state of Maharashtra. Various co-ordinate benches of the Tribunal have been consistently taking the view in favour of assessee as stated hereinabove, holding that the interest derived from the co-operative banks, which are co-operative societies, is allowable as deduction u/s. 80P(2)(d) of the Act. The assessee is thus entitled for the benefit u/s. 80P(2)(d) of the Act.
FULL TEXT OF THE ORDER OF ITAT MUMBAI
1. This appeal has been preferred against the impugned order dated 31.03.2024 passed in Appeal no. NFAC/2019- 20/10024791 by the Ld. Commissioner of Income– tax(Appeals)/ National Faceless Appeal Centre (NFAC) [hereinafter referred to as the “CIT(A)”] u/s. 250 of the Income-tax Act, 1961 [hereinafter referred to as “Act”] for the Assessment year [A.Y.] 2020-2 1, wherein learned CIT(A) has dismissed assessee’s appeal filed against the intimation order dated 25.11.2021 passed by CPC u/s. 143(1) of the Act.
