C.I.T vs. GURU NANAK COOP.SOCIETY LTD.

PDF · subscribers
ITR/52/1997HC Punjab & HaryanaPHHC01035426199722 February 2007Bench: MR. JUSTICE M.M. KUMAR,MR. JUSTICE RAJESH BINDAL1 pages
AI SummaryAllowed

What did the High Court hold?

The High Court of Punjab & Haryana, Chandigarh, has answered the referred question of law against the revenue and in favour of the assessee. The Court stated that for the reasons given in its separate order passed on the same day in connected matters (ITR Nos. 401 and 402 of 1995, Commissioner of Income-tax Amritsar vs. Gurdaspur Hardochhanni Co-op L/C Society Gurdaspur), the question of law is decided. This implies that the Tribunal's decision, which likely granted the exemption under section 80P(2)(a)(vi), was upheld. The ratio decidendi would be that the assessee's income, in the specific facts and circumstances, qualified for full exemption under section 80P(2)(a)(vi) of the Income-tax Act, 1961. The operative direction is an affirmation of the assessee's claim for exemption.

What were the facts?

The Commissioner of Income-tax, Jalandhar (Revenue) has filed an Income Tax Reference (ITR) No. 52 of 1997 before the High Court of Punjab & Haryana, Chandigarh. This reference arises from an order passed by the Income Tax Appellate Tribunal, Amritsar Bench, in ITA No. 283(ASR)/1993 for the assessment year 1991-92. The Tribunal's order was at the instance of the Revenue. The assessee is Guru Nanak Co-op (L&C) Society Ltd., Bhatinda. The dispute concerns the taxability of the assessee's income.

What were the issues?

1. Whether, on the facts and in the circumstances of the case, the income of the assessee was fully exempt from tax under section 80P(2)(a)(vi) of the Income-tax Act, 1961? Assessee's Contention: The assessee contended that its income was fully exempt from tax under the specified section. Revenue's Contention: The Revenue, by preferring the reference, implicitly argued that the assessee's income was not fully exempt under section 80P(2)(a)(vi). The specific arguments of the Revenue are not detailed in the provided judgment, but the reference itself indicates a disagreement with the Tribunal's finding on exemption.

Which sections of the Income-tax Act were involved?

Section 80P(2)(a)(vi)

AI-generated summary — verify with the full judgment below

IN THE HIGH COURT OF PUNJAB & HARYANA, CHANDIGARH

ITR No. 52 of 1997 Date of Decision: February 22, 2007 The Commissioner of Income-tax Jalandhar ...... Revenue Versus Guru Nanak Co-op (L&C) Society Ltd., ........ Respondent Bhatinda Coram: Hon'ble Mr.Justice M.M.Kumar Hon'ble Mr.Justice Rajesh Bindal

Present: Mr. Yogesh Putney,Advocate for the Revenue Mr.K.L.Goyal, Advocate for the assessee.

M.M.KUMAR,J. The Income Tax Appellate Tribunal,Amritsar Bench, Amritsar (for short `the Tribunal'), at the instance of revenue, has referred the following question of law for adjudication of this Court arising out of order passed by it in ITA No.283(ASR)/1993 for the assessment year 1991- 92:- “Whether, on the facts and in the circumstances of the case, the income of the assessee was fully exempt from tax under section 80P(2)(a)(vi) of the Income- tax Act, 1961? ”. For the reasons stated in our separate order passed today in ITR Nos. 401 and 402 of 1995, The Commissioner of Income-tax Amritsar vs.Gurdaspur Hardochhanni Co-op L/C Society Gurdaspur, the question referred is answered against the revenue and in favour of the assessee. ( M.M.Kumar ) Judge

( Rajesh Bindal )

Judge February 22, 2007 arya

More judgments on Section 80P(2)(a)(vi)

All 33 judgments and leading authorities on Section 80P(2)(a)(vi) →

Recent GST High Court judgments

Search GST case law →