LODHA SURPEMUS WORLI COMMERCIAL PREMISES COOPERATIVE SOCIETY,MUMBAI vs. NATIONAL FACELESS APPEAL CENTRE, MUMBAI

This appeal by the assessee is directed against the order of Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi [in short ‘the CIT(A)] dated 16/02/2023, for the Assessment Year 2016-17.

The appeal is time barred by 23 days. The assessee has filed an application seeking condonation of delay supported by an affidavit. The ld. Departmental Representative has opposed the condonation application. After examining the contents of the affidavit I am satisfied that the delay in filing of appeal is for the bonafide reasons stated in affidavit, and is not deliberate. The appeal is admitted for adjudication on merits.

Shri R.V. Shah appearing on behalf of the assessee submitted that the only issue in appeal is against disallowance of deduction u/s. 80P(2)(d) of the Income Tax Act, 1961 [in short ‘the Act’] in respect of interest income received from investments/deposits in the Co-operative Bank. Narrating facts of the case the ld. Authorized Representative of the assessee submitted that assessee is a Co-operative Society. The assessee earned interest income of Rs.9,98,611/- from fixed deposits, etc. with Co-operative Banks. The assessee claimed deduction in respect of said interest u/s. 80P(2)(d) of the Act. The Assessing Officer invoked the provisions of section 80P(4) of the Act and denied the benefit of deduction u/s. 80P(2)(d) of the Act to the assessee. Aggrieved by the assessment order dated 28/12/2018, the assessee filed appeal before the CIT(A). The CIT(A) in an ex-parte proceedings dismissed the appeal. The ld. Authorized Representative of the assessee submits that the issue raised in present appeal by the assessee is squarely covered by various decisions of the Tribunal.

On the other hand, Shri Sunny Kachhwaha representing the Department vehemently defended the assessment order and prayed for dismissing appeal of the assessee.