KUMKUM KAVITA CO-OPERATIVE HOUSING SOCIETY LTD.,MUMBAI vs. DCIT, CPC, BANGALUR, ITO-27(1)(1), MUMBAI

O R D E R Per: Ratnesh Nandan Sahay, Accountant Member: 1. This appeal has been filed by the appellant against the Order of the Ld. CIT (Appeals) passed u/s. 250 of the Income Tax Act [the ‘Act’ in short] vide DIN & Order No. ITBA/NFAC/S/250/2023-24/1057022437(1) Dated 12/10/2023 for the Assessment Year 2021-22.

2 Kumkum Kavita Cooperative Housing Society Limited 2. Following grounds of appeal have been raised by the appellant: 1. “On the facts and circumstances of the case and law, the Ld. CIT(A) erred in confirming disallowance of Rs.5,74,906/- being interest received from Co- Operative Banks under section 80P(2)(d) of Income Tax Act, 1961.

2. Appellant craves leave to add further grounds or to amend or alter the existing grounds of appeal on or before the date of hearing.”

3. The facts of the case, in brief, are that the appellant is a Co-operative Housing Society registered under Maharashtra Society Act, 1960. It filed its return of income for the assessment year 2021-22 declaring a total income at Rs.69,930/- after claiming a deduction of Rs.5,74,906/- u/s. 80P(2)(d) of the Act. The return was processed u/s. 143(1) on 19/10/2022 by Central Processing Centre (CPC) in which the deduction claimed u/s. 80P (2)(d) was denied to the assessee. Subsequently, the assessee filed rectification application before the CPC stating therein that there was a mistake apparent from record in the intimation order u/s. 143(1) issued by the CPC as the deduction u/s. 80P (2)(d) was wrongly denied. The CPC, however, rejected the claim of the appellant.

4. Aggrieved by the order of the CPC, the appellant filed appeal before the Ld. CIT (A). During the appellate proceedings, the appellant claimed that the appellant Cooperative Society is entitled for the deduction u/s. 80P (2)(d) of the Act. The appellant also filed several decisions in favour of its contentions. The Ld. CIT (A), however, dismissed the appeal of the 3 Kumkum Kavita Cooperative Housing Society Limited assessee on the ground that the appellant filed the appeal against the order of the CPC passed u/s. 154 of the Act and not against the intimation order passed u/s. 143(1) of the Income Tax Act. The Ld. CIT (A) has also referred to several decisions of the Income Tax Tribunals, High Courts and the Hon'ble Supreme Court in support of its decision.