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Income Tax Appellate Tribunal, PUNE BENCH “B”, PUNE – VIRTUAL COURT
Before: SHRI INTURI RAMA RAO & SHRI PARTHA SARATHI CHAUDHURY
IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH “B”, PUNE – VIRTUAL COURT BEFORE SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER AND SHRI PARTHA SARATHI CHAUDHURY, JUDICIAL MEMBER आयकर अपील सं. / ITA No.229/PUN/2019 िनधा�रण वष� / Assessment Year: 2014-15 Rukmini Sahakari Bank Ltd., Vs. ACIT, Ahmednagar Circle, A/p. Shirgonda, Ahmednagar. Daund-Jamkhed Road, Tal. Shirgonda, Dist.: Ahmednagar- 411002. PAN : AAAAS5122Q Appellant Respondent Assessee by : Shri Abhay Avchat Revenue by Shri Piyush Kumar Singh Yadav : Date of hearing : 20.01.2022 Date of pronouncement : 20.01.2022 आदेश / ORDER PER INTURI RAMA RAO, AM: This is an appeal filed by the assessee directed against the order of ld. Commissioner of Income Tax (Appeals)- 2, Pune [‘CIT(A)’ for short] dated 06.09.2018 for the assessment year 2014-15. 2. The appellant raised the following grounds of appeal :- “The following grounds are taken without prejudice to each other— On facts and circumstances of the case and in law, 1. Without considering facts and circumstances of the case, the Learned Assistant Commissioner of Income, Ahmednagar Circle, Ahmednagar, has erred in making aggregate addition of Rs. 4,20,858/- on account of Entrance Fees and nominal
2 ITA No.229/PUN/2019 membership fees credited directly to the Reserve Fund and the learned Commissioner of Income Tax (Appeals) erred in confirming the same. (Tax Effect: Rs. 1,30,045/-). 2. The Learned Assistant Commissioner of Income, Ahmednagar Circle, Ahmednagar, has erred in making addition of Rs. 15,125/- on account of excess claim of depreciation and the learned Commissioner of Income Tax (Appeals) erred in confirming the same. (Tax Effect: Rs. 4,674/-). 3. The Assessment Order is not in keeping with the provisions of law and needs to be cancelled. (Tax Effect: Rs. 1,34,720/-). 4. The appellant craves leave to add, amend or alter any of the grounds of appeal.” 3. At the very outset, there is delay in filing the present appeal of 24 days. The appellant filed an affidavit stating that the delay in filing the present appeal had occurred on account of misplacing the order of the CIT(A) in the office of the Authorised Representative. The averments made in the affidavit for condonation of delay were not controverted by the ld. CIT-DR. In the circumstances, we are of the considered opinion that it is a fit case for condonation of delay in filing the present appeal. Therefore, we condone the delay of 24 days and admit the appeal for adjudication. 4. The brief facts of the case are that the appellant is a cooperative bank engaged in the business of banking. The return of income for the assessment year 2014-15 was filed on 17.09.2014 declaring total income of Rs.1,64,40,394/-. Against the said return of income, the assessment was completed by the Assistant Commissioner of Income Tax, Ahmednagar Circle, Ahmednagar
3 ITA No.229/PUN/2019 (‘the Assessing Officer’) vide order dated 30.11.2016 passed u/s 143(3) of the Income Tax Act, 1961 (‘the Act’) at a total income of Rs.1,68,76,680/-. While doing so, the Assessing Officer brought to tax the following items of receipts, which are credited to the Reserve Fund Account :- Sr. No. Particulars Amount (in Rs.) i. Entrance Fee 372/- ii. Election deposit 5,250/- iii. Building Fund 2,73,537/- iv. Leading Network Deposit 2,502/- v. Other Payables 4,817/- vi. Nominal Membership fee 1,34,380/- Total 4,20,858/- 5. The Assessing Officer also made an addition of Rs.15,125/- on account of excess claim of depreciation. 6. Even on appeal before the ld. CIT(A), the ld. CIT(A) confirmed the addition of Rs.4,20,858/- on account of Entrance Fees and Nominal Memberships Fees credited to the Reserve Fund Account and the issue/ground relating to the addition of Rs.15,125/- on account of excess claim of depreciation was dismissed as not pressed. 7. Aggrieved by the above decision of the ld. CIT(A), the appellant is before us in the present appeal.
4 ITA No.229/PUN/2019 8. The ground of appeal no.1 challenges the addition of Rs.4,20,858/- on account of Entrance Fees and Nominal Membership Fees etc credited to the Reserve Fund Account. This issue in the present appeal is covered by the decision of the Co- ordinate Bench of Pune Tribunal in assessee’s own case in the earlier year, wherein, the contribution towards building funds were held to be capital in nature. As regards to the Entrance Fees and Nominal Membership Fees, the issue was restored to the file of the Assessing Officer to ascertain the nature of receipts having regard to the Bye-laws of the assessee society as well as Master Circular of RBI etc. On the parity of same reasoning, we direct the Assessing Officer to delete the addition on account of contribution of building fund of Rs.2,73,537/-. As regards to other items of receipts, the matter is restored to the file of the Assessing Officer to ascertain the true nature of receipts having regard to the Bye-laws of the assessee society as well as the Master Circular of RBI. Thus, the ground of appeal no.1 is partly allowed for statistical purposes. 9. The ground no.2 challenges the addition of Rs.15,125/- on account of excess claim of depreciation. This ground of appeal was not pressed during the course of proceedings before the ld. CIT(A)
5 ITA No.229/PUN/2019 as well as does not emanate from the order of the ld. CIT(A). Hence, the ground of appeal no.2 stands dismissed. 10. The other grounds of appeal are consequential in nature therefore, the same are dismissed. 11. In the result, the appeal filed by the assessee stands partly allowed for statistical purposes. Order pronounced on this 20th day of January, 2022. Sd/- Sd/- (PARTHA SARATHI CHAUDHURY) (INTURI RAMA RAO) JUDICIAL MEMBER ACCOUNTANT MEMBER पुणे / Pune; �दनांक / Dated : 20th January, 2022. Sujeet आदेश क� �ितिलिप अ�ेिषत / Copy of the Order forwarded to : अपीलाथ� / The Appellant. 1. ��यथ� / The Respondent. 2. 3. The CIT(A)-2, Pune. 4. The Pr. CIT-1, Pune. िवभागीय �ितिनिध, आयकर अपीलीय अिधकरण, “B” ब�च, 5. पुणे / DR, ITAT, “B” Bench, Pune. गाड� फ़ाइल / Guard File. 6. आदेशानुसार / BY ORDER, // True Copy // Senior Private Secretary आयकर अपीलीय अिधकरण, पुणे / ITAT, Pune.