APSARA COOPERATIVE HSG SOC LTD,MUMBAI vs. ADDL/JCIT (A)-3 , BENGALURU

1. 2. The rival submissions of both the parties have been heard and record perused. The learned authorised representative (ld. AR) of the assessee submits that while filing return of income the assessee declared gross total income of Rs.12,99,617/-. In the computation of total income, the assessee claimed deduction of Rs.12,63,517/- under section 80P(2)(d) of the Act on account of interest received from co-operative bank. The AO disallowed such deduction by taking view that co-operative banks are a commercial bank and does not fall under the purview of co-operative society. The ld. AR of the assessee submits that in a series of decision by this bench, it has been consistently held that co-operative banks are primarily a co-operative society and the interest received from such co-operative bank are eligible for deduction under section 80P(2)(d) to support its submission. The ld. AR relied upon the decision of Mumbai Tribunal in Gundecha Gardens Co-operative Housing Society Limited vs. CIT(A), NFAC, Delhi, in and in Kaliandas Udyog Bhawan Premises Co-operative Society Vs ITO in ITA No. 6547/Mum/2027.

On the other hand, learned senior departmental representative (Sr.DR) for the Revenue supported the order of lower authorities.

We have considered the submissions of both the parties and have gone through the orders of lower authorities. We have also deliberated on various case laws relied upon by the learned AR of the assessee. 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 Apsara Co-operative HSGSOC Ltd. 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 coordinate bench in Gundecha Gardens Co-operative Housing Society Limited vs. CIT(A) (supra). No contrary facts or law is brought to our notice to take other view. Thus, the grounds of appeal