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TMI Blog2019 (3) TMI 385X X X X Extracts X X X X X X X X Extracts X X X X ..... yanka V. Jadhav For the Respondent : Shri M. K. Verma ORDER PER D. KARUNAKARA RAO, AM : This appeal is filed by the assessee against the order of CIT(A)-2, Pune dated 11.07.2018 for the Assessment Year 2014-15. 2. The grounds raised by the assessee are as under :- 1. Rejecting the genuine and admissible claim of appellant Credit Society with respect to MSEB Commission Income of ₹ 1,61,459/- being the income attributable to the Business Income and denying the deduction u/s 80P(2)(a)(i) of the Income Tax Act, 1961. 2. Alternatively not allowing the legitimate expenditure of ₹ 1,76,564/- incurred against the earning of MSEB Gross Commission ₹ 1,61,459/-. However, the Ld. ITO has allowed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hakari Patsanstha Maryadit (supra). 5. On hearing both the sides, I find the similar issue was decided by the Pune Bench of the Tribunal in the case of Dronagiri Nagri Sahakari Patsanstha Maryadit (supra) in favour of the assessee and the contents of paras 10 to 13 are relevant in this regard. For the sake of completeness, the said paras 10 to 13 are extracted hereunder :- 10. After hearing both the learned Counsel for assessee and the learned Departmental Representative for the Revenue, it transpires that similar issue of Electricity Commission arose before the Tribunal in the case of Banganga Nagri Sahakari Patsanstha Ltd. Vs. ITO (supra), wherein it was held as under:- 10. We have carefully considered the rival submissions, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nate basis. We are of the view that the action of the CIT(A) in restricting the expenses artificially @ 10% of the gross income from such activities is not sustainable in law being devoid of objectivity. The Assessing Officer is accordingly directed to allow the expenses which are attributable to the running of Ambulance and determine the income from the aforesaid activity. The surplus if any, from this activity would be entitled to relief made residuary clause of section 80P(2)(c)(ii). We also notice that the Income from MSEB commission is held to be business activity as per decision cited by the assessee in the case of Ahmednagar District Co-operative Bank Ltd. (supra) and other decisions noted above. Accordingly, we hold that the assesse ..... X X X X Extracts X X X X X X X X Extracts X X X X
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