THE KUKARWADA NAG SAH BANK LTD,KUKARVADA, MEHSANA vs. DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE, GANDHINAGAR, GANDHINAGAR

ITA 2037/AHD/2025Status: DisposedITAT Ahmedabad23 September 2026AY 2018-196 pages
AI SummaryRemanded

What were the facts?

The assessee, a co-operative bank, claimed deductions for Education Cess, Shareholder Benefit Fund, and Shareholder Welfare Fund. The Assessing Officer disallowed these claims, and the CIT(A) upheld the disallowance. The assessee appealed to the ITAT.

What did the Tribunal hold?

The ITAT held that the CIT(A) had not adjudicated the deduction claim for Education Fund and Members Welfare Fund, remanding it for proper adjudication. For the Shareholder Benefit Fund, the ITAT remanded the issue back to the CIT(A) for fresh adjudication as the assessee failed to provide evidence of statutory obligation.

What were the issues?

Whether expenses claimed for Education Fund, Members Welfare Fund, and Shareholder Benefit Fund are allowable as deductions. Whether the CIT(A) properly adjudicated all grounds of appeal.

Which sections of the Income-tax Act were involved?

Section 37(1),Section 40A(9)

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, “B” BENCH, AHMEDABAD

Before: SHRI SANJAY GARG & SHRI NARENDRA PRASAD SINHA

For Appellant: Shri Biren Shah, AR
For Respondent: Shri Deependra Kumar, SR-DR
Hearing: 09.07.2026Pronounced: 23.09.2026

PER NARENDRA PRASAD SINHA, ACCOUNTANT MEMBER:

This appeal is filed by the Assessee against the order of the Ld. Commissioner of Income Tax (hereinafter referred to as “Ld. CIT(A)”), National Faceless Appeal Centre (NFAC), Delhi dated 01.08.2025 for the Assessment Year (A.Y.) 2014-15 in the proceeding u/s 143(3) of the Income Tax Act [hereinafter referred as “the Act”].

2.

The assessee is a co-operative bank engaged in banking activities. The assessee filed its original return of income electronically on 07.09.2018, declaring total income of Rs.3,60,31,680/-. Subsequently, a revised return was filed on 18.03.2019 declaring the same total inco

The order continues below.

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