Interest from co-operative banks remains eligible for Section 80P(2)(d) deduction

Borivali Jankalyan Sahakari Patpedhi Ltd. Vs ITO (ITAT Mumbai) The Income Tax Appellate Tribunal (ITAT) Mumbai has ruled in favor of Borivali Jankalyan Sahakari Patpedhi Ltd. for the Assessment Year 2015-16. The case involved the disallowance of a deduction claimed under Section 80P of the Income Tax Act, 1961. The Assessing Officer (AO) had denied the deduction for interest income earned from investments in co-operative banks, treating it as taxable under Section 56 as “Income from Other Sources.” The Commissioner of Income Tax (Appeals) [CIT(A)] upheld this view, leading the asse...