THE ENTERPRISES CO-OP PREMISES SOCITEY LTD,MUMBAI vs. WARD 22(3)(6), MUMBAI, PIRAMAL CHAMBER, MUMBAI

IN THE INCOME TAX APPELLATE TRIBUNAL“J(SMC)” BENCH, MUMBAI BEFORE SHRI PAWAN SINGH, JUDICIAL MEMBER AND SHRI JAGADISH, ACCOUNTANT MEMBER ITA No. 6059/MUM/2026 (AY: 2017-18) (Physical hearing) The Enterprises Co-op Premises ITO, Ward – 22(3)(6), Mumbai Society Ltd. vs Dr. S.S. Rao Marg, Parel, Terrace, Prabhadevi Industrial Mumbai – 400012. Estate, 408, V.S. Marg, Prabhadevi, Mumbai– 400025. [PAN: AAAAT9310R] Appellant / Assessee Respondent / Revenue Assessee by Shri Srinivas Kota, CA Revenue by Ms. Jayshree Thakur, Sr. DR Dale of institution of appeal 20.05.2026 Date of hearing 13.08.2026 Date of pronouncement 13.08.2026 Order under section 254(1) of Income Tax Act PER PAWAN SINGH, JUDICIAL MEMBER; 1. This appeal by assessee is directed against the order of ld. CIT(A) dated 17.03.2026 for Assessment Year (AY) 2017-18. Though, the assessee has raised multiple grounds of appeal, however as per our considered view the substantial ground of appeal relates to disallowance under section 80P(2)(d) on account of interest received by assessee society from Co- operative Bank. 2. Rival submissions of both the parties have been heard and record perused. The learned authorised representative (ld. AR) of the assessee submits that grounds of appeal raised in the present appeal relates to deduction under section 80P(2)(d). The assessee earned interest of Rs. 22,26,948/- or fixed deposits as well as savings bank account in Sarswat

ITA No.6059/Mum/2026 (AY: 2017-18) The Enterprises Co-op Premises Society Ltd.

Cooperative Bank Ltd. and Maharashtra State Co-operative Bank Ltd. Both the banks are registered under Co-operative Society Act. In a series of decision, the Tribunal if held that co-operative banks are primary co- operative society and interest or dividend earned by assessee on such deposit is eligible for deduction under section 80P(2)(d). 3. On the other hand, the learned Senior Departmental Representative (ld. Sr. DR) for the Revenue supported the order of ld. CIT(A). 4. We have heard the submission of both the parties and have gone through the orders of lower authorities. We find that there is no dispute on the fact that assessee earned interest of Rs. 20,95,081/- on fixed deposits with Saraswat Co-operative Bank and Rs.131,867/- from Maharashtra State Co- operative Bank. We find that grounds of appeal raised by the assessee is in fact covered by a series of decision by this Bench as well as other Co- ordinate Benches of Tribunal wherein it has been consistently held that Co-operative Banks are primarily co-operative society and the interest or dividend earned from such Co-operative Bank are eligible for deduction under section 80P(2)(d). Similar View was taken by Gujarat High Court in Gujarat High Court in the case of Surat Vankar Sahakari Sangh Ltd. (2016) 72 taxmann.com 169; Allahabad High Court in the case of U.P. Cooperative Sugar Factories (2013) 17 taxmann.com 58; Punjab Haryana High Court in the case of Haryana Co-operative Sugar Mills Ltd. (1989) 46 Taxman 28 and Pune Tribunal in Niphad Nagari Sahakari Pata Sanstha Ltd. in ITA No. 1336/PN/2011 and in CIT ITO V Sri Biluru Gurubasava Pattina Sahakari Sangha Niyamitha (ITA No. 5006/2013)(Karnataka HC). No

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contrary facts or law is brought to our notice to take other view. Thus, the grounds of appeal raised by the assessee are allowed. 5. In the result,appeal filed by assessee is allowed. Order was pronounced in open court on 13/08/2026 Sd/- Sd/- JAGADISH PAWAN SINGH ACCOUNTANT MEMBER JUDICIAL MEMBER

MUMBAI, Dated:13/08/2026 Biswajit Copy of the order forwarded to: (1) The Assessee; (2) The Revenue; (3) The PCIT / CIT (Judicial); (4) The DR, ITAT, Mumbai; and (5) Guard file. By Order

Assistant Registrar ITAT, Mumbai