9911796707
TMI Blog2023 (6) TMI 735X X X X Extracts X X X X X X X X Extracts X X X X ..... al raised by the assessee is dismissed at this stage. However, by invoking inherent power of appellate authority, the appeal is restored back to the file of assessing officer to examine the claim of deduction of interest income earned from Nationalised Bank under section 80P(2)(a)(i). Needless to direct that before passing the order afresh the AO shall grant opportunity of hearing to the assessee. The assessee is also directed to substantiate its claim by filing appropriate submissions and evidences.Appeal of the assessee is partly allowed. - ITA No. 141/SRT/2023 - - - Dated:- 15-6-2023 - Shri Pawan Singh, Judicial Member For the Assessee : Shri Yogesh S. Gamit, Advocate For the Revenue : Shri Vinod Kumar, Sr-DR ORDER ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . CIT(Appeals) confirming the action of Ld. AO and addition made by the Ld. AO should be deleted / nullified and consequently relief of interest should be granted to appellant. 4. That the appellant craves leave to add, to amend, modify, rescind, supplement or alter any of the grounds stated here-in-above, either before or at the time of hearing of this appeal. 2. Brief facts are that assessee is a Co-Operative Society and engaged in the business of providing credit facilities exclusively to its members by accepting deposits from its members and lending to them. The assessee filed its return of income for assessment year 2014-15 on 29.11.2014 declaring nil income after setting off the deduction under section 80P of the Act. The ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lowable as deduction under section 80P of the Act. The reply of assessee was not accepted by Assessing Officer and he held that assessee is not eligible for interest income earned from other than co-operative society. The Assessing Officer disallowed of Rs.13,62,958/- and treated the same as income from other source in the assessment order dated 16.11.2016. 3. Aggrieved by the addition in the assessment order the assessee filed appeal before Ld. CIT(A). The appeal of assessee migrated before NFAC/Ld. CIT(A). Before NFAC/Ld. CIT(A) the assessee repeated the similar submission as made before Assessing Officer. The submission of assessee is recorded in para-3 and 4 of the order of NFAC/Ld. CIT(A). The assessee also relied upon the order o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Act it is settled law that the assessee is only entitled for eligible for deduction of interest income earned from co-operative society only and not interest income earned from Nationalized Bank. 6. I have considered the submissions of both the parties and have gone through the orders of lower authorities carefully. The assessing officer disallowed deduction of interest income earned from other than co-operative society, without specifying any clause of section 80P of the Act. Before ld CIT(A) the assessee raised grounds of appeal that the assessee is eligible of deduction of interest income from Nationalised Bank under section 80P(2)(d). The ld CIT(A) also upheld the action of assessing officer by taking view that the assessee is elig ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessee is otherwise eligible for such deduction. Therefore, the ground No.2 of appeal raised by the assessee is dismissed at this stage. However, by invoking inherent power of appellate authority, the appeal is restored back to the file of assessing officer to examine the claim of deduction of interest income earned from Nationalised Bank under section 80P(2)(a)(i). Needless to direct that before passing the order afresh the assessing officer shall grant opportunity of hearing to the assessee. The assessee is also directed to substantiate its claim by filing appropriate submissions and evidences. 8. In the result, the appeal of the assessee is partly allowed. Order pronounced on 15/06/2023 in open court. - - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
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