One-Time Membership Fees as Capital Receipts for Coop Bank: ITAT Pune

Veershaiv Cooperative Bank Ltd. Vs ACIT (ITAT Pune) The Income Tax Appellate Tribunal (ITAT) Pune, in the case of Veershaiv Cooperative Bank Ltd. vs. ACIT, addressed the classification of one-time nominal membership and share transfer fees as either capital or revenue receipts. The issue pertained to the Assessment Year 2017–18, during which the Cooperative Bank credited fees amounting to ₹17,54,900 directly to its Reserve Fund, classifying them as capital receipts. The Assessing Officer, however, considered these fees to be revenue in nature and made corresponding additions, which were la...