ZILA SAHKARI BANK LTD.,MIRZAPUR vs. ASSTT. COMMISIONER OF INCOME TAX, MIRZAPUR
What did the Tribunal hold?
The Tribunal held that the eligibility for deduction under Section 36(1)(viia) for cooperative banks requires a banking license from the RBI, and the retrospective effect of such a license needs to be examined. The matter was remanded to the AO for fresh adjudication on this issue and to verify details for the second limb of the deduction.
What were the facts?
The assessee, Zila Sahkari Bank Limited, claimed deductions for provision for bad debts and depreciation. The Assessing Officer (AO) allowed only a partial deduction for bad debts under Section 36(1)(viia) and adjusted depreciation claims. The CIT(A) upheld these disallowances.
What were the issues?
Whether the assessee cooperative bank is eligible for deduction under Section 36(1)(viia) without a banking license during the relevant period, and the applicability of retrospective licensing. The calculation and eligibility for depreciation claims were also contested.
Which sections of the Income-tax Act were involved?
AI-generated summary — verify with the full judgment below
Cases cited in this judgment(3)Show listHide list
Detected automatically from the text. Citations are also linked where they appear in the judgment. The count shows how many other judgments on BharatTax rely on the same authority.
- CIT v. Lord Krishna Bank Ltd.50 citing339 ITR 606 · 2011 · HC · Read judgment
- Kannur District Cooperative Bank v. CIT19 citing365 ITR 343 · 2014 · HC
- ACIT v. Chaitanya Godavari Grameena Bank11 citing93 Taxmann.com 400 · 2018
Income Tax Appellate Tribunal, ALLAHABAD BENCH, ALLAHABAD
Before: SHRIVIJAY PAL RAO & SHRI RAMIT KOCHAR
PER SHRI RAMIT KOCHAR, ACCOUNTANT MEMBER:
These two appeals, filed by assessee, being ITA No.135/Alld./2015 and 136/Alld/2015 for assessment year(s): 2010-11 and 2011-12 respectively , are directed against two separate appellate order(s) dated 16.12.2014 and 17.12.2014in Appeal No(s).110/ACIT/R-III/MZP/13-14and 124/JCIT/R- III/MZP/13-14 passed by learnedCommissioner of Income Tax (Appeals), Allahabad (hereinafter called "theCIT(A)"),for assessment years(ay):2010-11 and 1 And ITA No. 136/ALLD/2015 ZilaSahkari Bank Limited Assessment Year: 2010-11 and 2011-12 2011-12respectively, the appellate proceedingshad a
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More judgments on Section 36(1)(viia)
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- State Bank of India, Mumbai vs ACIT-Circle- 2(2)(1), MumbaiITA 3429/MUM/2018[2013-14]Status: Disposed11 Sept 2026AY 2013-14
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