ITAT Pune Quashes Sec 263 – 80P Deduction on Co-op Bank Interest Allowed

Mahesh Nagari Sahakari Patsanstha Maryadit Vs PCIT (ITAT Pune) Section 263 Revision Quashed – Interest from Co-op Banks Eligible for U/s 80P Deduction – ITAT Pune Upholds AO’s Order The ITAT Pune allowed the appeal of a primary credit co-operative society & quashed the revision order passed u/s 263, holding that the assessment allowing deduction u/s 80P was neither erroneous nor prejudicial to Revenue. The PCIT had invoked revision relying on Totagars & alleged that interest income on deposits should be taxed as “Income from Other Sources.” The Tribunal observed that the asse...