JANJIVHALA SAHAKARI PATSANSTHA MARYADIT,MUMBAI vs. ITO 15(2)(1), MUMBAI

This appeal filed by the assessee on 30.1.2015 is against the order of the CIT (A)-26, Mumbai dated 20.10.2014 for the assessment year 2010-2011.

The only issue raised in this appeal relates to the proper head of income for taxing the interest receipts earned by the society from the banks / societies where the funds are parked either under the statutory obligation or otherwise. At the outset, Ld Counsel for the assessee submitted that the CIT (A) decided to confirm the taxability of interest receipts under the head income from other sources in view of the absence of precedent at the relevant point of time on this issue. In this regard, Ld Counsel for the assessee filed a copy of the order of the Tribunal in the case of M/s. Jaoli Taluka Sahakari vs. ITO in (AY 2010-2011), dated 10.8.2015 and submitted that the assessee will get relief if the ratio of the said decision of the Tribunal (SMC Bench) is examined and applied to the instance case.