M/S. PUNALUR SERVICE CO-OPERATIVE BANK LTD.,KOLLAM vs. INCOME TAX OFFICER, WARD 2, KOLLAM

It emerges at the outset that both the learned lower authorities have invoked section 80P deduction disallowance of Rs.15,85,453/- u/s.143(1)(a)(v) “processing” in the light of the fact that the assessee’s corresponding return had not been filed within the “due” date u/s. 139(1) of the Act attracting s. 80AC (as amended from 01.04.2018 onwards).

The assessee’s stand all along has been that hon'ble jurisdictional high court in Chirakkal Service Co-operative Bank Ltd. case [2016] 384 ITR 490 (Ker) has settled the issue that even a “belated” return is also entitled to be considered for section 80P deduction. We find that the CIT(A) has already taken note thereof whilst quoting the statutory amendment in section 80AC that such a return has been mandatorily filed within the “due” date u/s.139(1) of the Act. This amendment has admittedly come well after their lordships’ judgment and therefore, we have no option but to reject the assessee’s claim in light of section 80AC (as amended) w.e.f. 01.04.2021 applicable from AY 2022-23 onwards. Rejected accordingly.

& SA No.178/Coch/2023. M/s.Punalur SCB Limited. 4. Delay of 99 days in filing the instant appeal is condoned as per assessee’s solemn averments in light of Collector, Land Acquisition vs., MST Katiji [1987] 167 ITR 471 (SC) having settled the law long back that all such technical aspects must make a way for the cause of substantial justice.

This assessee’s appeal ITA.No.785/Coch./2023 is dismissed and the stay application SA.No.178/Coch./2023 of the assessee stand rendered as infructuous. A copy of this common order be placed in the respective case files.