2016 (2) TMI 1387

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..... n, our attention has also been drawn on Arvind Sahakari Bank Ltd., Katol [ 2015 (9) TMI 1768 - ITAT NAGPUR] wherein after considering the provisions of section 36(1)(vii)(a) and the Banking Regulation Act, the coordinate bench has held as agree with the assessee that once the Reserve Bank of India recognizes and notifies a Cooperative Bank as a non scheduled bank, the Revenue cannot contend otherwise. Admittedly upon fulfilling all the necessary conditions of the RBI, the assessee bank has been duly notified as a non schedule bank and hence being a non schedule bank it is entitled to deduction u/s 36(1)(viia). Decided against revenue. - SHRI MUKUL K. SHRAWAT, JUDICIAL MEMBER AND SHRI SHAMIM YAHYA, ACCOUNTANT MEMBER For the Appellant : Shr .....

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..... t and there after held that the actual amount debited on account of provisions for bad and doubtful debt is an allowable deduction as per the provisions of section 36(1)(vii)(a) of I.T. Act. Against the said verdict of learned CIT(Appeals) now the Revenue is in appeal before us. 4. On this short issue we have heard the submissions of both the sides. At the outset we have been informed that the R.B.I. has issued a list of the Banks titled as List of DCCBs in Maharashtra wherein at Sr. No. 6 the name of the assessee is mentioned. It has also been placed on record that in exercise of the powers conferred on the Reserve Bank of India according to Banking Regulation Act the assessee had been granted licence to commence and carry on banking busin .....

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..... ank as a non scheduled bank, the Revenue cannot contend otherwise. Admittedly upon fulfilling all the necessary conditions of the RBI, the assessee bank has been duly notified as a non schedule bank and hence being a non schedule bank it is entitled to deduction u/s 36(1)(viia) of the I.T. Act. Accordingly we do not find any infirmity in the order of learned CIT(Appeals). Hence we uphold the same. 5. Respectfully following the above decision and considering the totality of the facts and circumstances of the case, we hereby affirm the finding of learned CIT(Appeals). Grounds raised by the Revenue are dismissed. 6. In the result, the appeal of the Revenue is dismissed. Order pronounced in the Open Court on this 25th day of Feb, 2016. - - .....

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