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TMI Blog2009 (12) TMI 274X X X X Extracts X X X X X X X X Extracts X X X X ..... Held that- it was not in dispute that the assesee was engaged in the marketing of agricultural produce of its members. Even if the Assessing Officer was of the opinion that the case of the assessee did not fall under section 80P(2)(a)(iv) since it fell under section 80(2)(a)(iii) the assessee was entitled to special deduction. - 35 of 2005 - - - Dated:- 9-12-2009 - MANJUNATH K. L., ARAVIND KUMAR JJ JUDGMENT The judgment of the court was delivered by 1 . K. L. Manjunath J .-This appeal is by the Revenue challenging the legality and correctness of the order passed by the Income-tax Appellate Tribunal, Bangalore Bench in I. T. A. No. 208/Bang/2002 dated June 30, 2004. 2. The appeal is admitted on the following substantial q ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . 4. We have heard the counsel for the parties. 5. The claim of the assessee is denied by the Assessing Officer on the ground that section 80P(2)(a)(iv) does not empower him to consider hire charges received by the assessee. Section 80P reads as hereunder: "80P. Deduction in respect of income of co-operative societies.- (1)Where, in the case of an assessee being a co-operative society, the gross total income includes any income referred to in sub-section (2), there shall be deducted, in accordance with and subject to the provisions of this section, the sums specified in sub-section (2) in computing the total income of the assessee. (2) The sums referred to in sub-section (1) shall be the following, namely:- (a) in the case of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... considered by the Division Bench of this court in the case of assessee only, reported in Addl. CIT v. Ryots Agricultural Produce Co-operative Marketing Society Ltd. [1978] 115 ITR 709 (Karn) Venkataramaiah J., as he then was, while considering the expression "marketing" has held as hereunder (headnote): "The expression 'marketing' appearing in clause (c) of section 81(i) (now section 80P) of the Income-tax Act, 1961, is of wide import and generally means "the performance of all business activities involved in the flow of goods and services from the point of initial agricultural production until they are in the hands of the ultimate consumer". In order to make agricultural produce fit for marketing, it may have to be transported or proces ..... X X X X Extracts X X X X X X X X Extracts X X X X
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