THE DHOLKA NAGARIC BACHAT SAHAKARI MANDALI LTD.,AHMEDABAD vs. THE ITO, WARD-3(2)(5), AHMEDABAD
Income Tax Appellate Tribunal, “SMC” BENCH, AHMEDABAD
Before: DR. B.R.R. KUMAR, VICE-SHRI SIDDHARTHA NAUTIYALThe Dholka Nagaric Bachat Sahakari Mandali Ltd., Nr. Old Bus Station, Malav Talav Road, Dholka, Ahmedabad-387810. [PAN :AACTT0173 D]
PER DR. B.R.R. KUMAR, VICE-PRESIDENT:-
This appeal has been filed by the Assessee against the order dated
28.01.2025 passed by the Ld. ADDL/JCIT(A)-2, Visakhapatnam (‘Ld.
CIT(A)’ in short), under Section 250 of the Income-tax Act, 1961 (‘the Act’
in short), relating to the Assessment Year 2017-18. 2. The assessee has raised the following grounds of appeal :-
“1.1 The order passed by U/s.250 passed on 28.01.2025 for A.Y. 2018-19 by NFAC,
[CIT(A)], Delhi (for short CIT(A)" upholding the disallowance made by A.O. of deduction u/s 80P(2) of Rs. 7,21,430/- on account of non-filing of ITR within the prescribed time u/s 139(1) is wholly illegal, unlawful and against the principles of natural justice.
1 The ld. CIT(A), has grievously erred in law and or on facts in not appreciating that there could not be compliance to the notices claimed to be issued mainly on account of failure of the tax consultant. Thus, there was a sufficient cause for failure to comply with the notices claimed to be issued by NFAC. Asst. Year : 2017-18 - 2– 3.1 The Id. CIT(A) has grievously erred in law and or on facts in upholding the disallowance made by A.O of deduction u/s 80P(2) of Rs. 7,21,430/- on account of non-filing of ITR within the prescribed time u/s 139(1).
2 That the in the facts and circumstances of the Id. CIT(A), ought not to have upheld the disallowance made by A.O of deduction u/s 80P(2) of Rs. 7,21,430/- on account of non-filing of ITR within the prescribed time u/s 139(1).
3 The Id. CIT(A) has failed to appreciate that the office bearers of the appellant society being unaware about the complicated tax laws and residing in a small town and under a genuine belief that the income of the cooperative society was exempt.
It is, therefore, prayed that the disallowance made by A.O of deduction u/s 80P(2) of Rs. 7,21,430/- and upheld by the CIT(A) may kindly be deleted.”
The assessee is a co-operative credit society registered under the Gujarat Co-operative Societies Act. It is engaged in the business of providing credit facilities to its members and accepting deposits from them. The assessee maintains regular books of account, which are audited by the Sub-