NASHIK DISTRICT SUPERVISION CO OP SOCIETY,NASHIK vs. ITO WARD 1(1) NASHIK, NASHIK

We observe that valid notice of hearing was issued fixing the date of hearing for today, but none appeared on behalf of the assessee. We proceed to adjudicate the grounds of appeal raised in the instant appeal with the assistance of Ld. Departmental Representative and available records.

The assessee has raised the following grounds of appeal : Appellant by : None Revenue by : Shri Sandeep P. Sathe Date of hearing : 16.01.2025 Date of pronouncement : 07.04.2025 2 “1. The learned ADDL/JCIT (A)-2, Visakhapatnam( hereafter referred to as CIT(A)) erred in law and on facts in confirming the appellant's income assessed by the learned AO amounting to Rs.65,71,685/- instead of loss of Rs.30,77,365/- as declared by the appellant.

Appellant contends that, if at all, disallowance for PF & ESI dues is requisite u/s 36(i)(va) of ITA, 1961, the correct amount of the same is only Rs.46,16,058 and not Rs. 96,49,050. Appellant contends that the difference of Rs.50,32,992 (i.e. Rs.96,49,050 Rs.46,16,058) is either employer's share of PF & ESI dues or, Admin expenses and other charges levied by PF & ESI authorities.

Appellant contends that, Appellant is entitled to avail deduction u/s 80P(2)(d) on interest amounting to Rs.13,05,613 (i.e. FD interest amt to Rs.818,537 and Saving bank interest amt to Rs.4,87,076) since such interest is availed from Nasik District Central Co-operative Bank Limited.

Appellant also contends that, a broader and compassionate view ought to be adopted for extending the requisite deduction u/s 80- P to the Appellant, without applying stiff conditions u/s 80A and considering realistic situation of emerging loss as per P & L and as per Return of Income filed before I-T authorities.

Appellant trust craves leave to add/modify/delete/amend all/any of the grounds of appeal.”

From the perusal of the above grounds, we notice that certain issues have been raised by the assessee regarding the correct amount of employee’s contribution towards PF and ESIC which deserves to be disallowed u/s. 36(i)(va) of the Act in light of the judgment of Hon'ble Apex Court in the case of Checkmate 12.10.2022. The grounds have also been raised about the non- allowability of deduction u/s. 80P(2)(d) of the Act for the interest earned from the Co-operative Banks. We further note that the return of the assessee which is a Co-operative Society has been processed u/s. 143(1)(a) of the Act.

The Ld. Departmental Representative supported the order of the Ld. Addl./JCIT(A). 3 6. We have heard the Ld. DR and perused the record placed before us. Considering the issues raised in the grounds of appeal which needs verification of various details, we deem it appropriate to remit all the issues raised before us in this appeal to the file of the Ld. Juri ictional Assessing Officer before whom the assessee can file requisite details in support of all its grounds of appeal for which a reasonable opportunity shall be granted and thereafter the Ld. Juri ictional Assessing Officer can decide the issue in accordance with law. The assessee is directed to remain vigilant and not to take adjournment unless otherwise required for reasonable cause. Effective grounds of appeal raised by the assessee are allowed for statistical purposes.

In the result, the appeal of the assessee is allowed for statistical purposes.

ग र्ड फ़ इल / Guard File. आदेश नुस र / BY ORDER,