2023 (9) TMI 1336

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..... embers and the surplus income earned from mutual transactions is not taxable as per the principle of mutuality - AO noted that the doctrine of mutuality did not apply on the interest income on FDRs and security deposits as the same are income earned from third party - HELD THAT:- The issue is squarely covered in the case of Secundrabad Club etc [ 2023 (8) TMI 925 - SUPREME COURT] has categoricall .....

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..... 0 of the Income Tax Act (hereinafter referred to as the Act ) respectively. 2. The sole issue involved in these appeals is as to whether the principle of mutuality will apply on the interest income earned by the assessee on the deposits with the bank. 3. The brief facts of the case are that the assessee-club claimed before the Assessing Officer that it is a mutual organisation comprising of .....

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..... anks, irrespective of whether the banks are corporate members of the club or not. The issue, therefore, has been settled by the Hon ble Supreme Court and therefore, there is no infirmity in the orders of the lower authorities. There is no merit in the appeals of the assessee and the same are accordingly dismissed. 6. In the result, both the appeals of the assessee stand dismissed. Kolkata, t .....

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