ITAT Panaji Judgments — December 2022

SADA URBAN CO-OPERATIVE CREDIT SOCIETY LIMITED,VASCO vs INCOME TAX OFFICER, WARD - 2(5), PANAJI

ITA 226/PAN/2019[2015-16]Status: Disposed23 Dec 2022AY 2015-16Allowed

The Tribunal held that interest income from cooperative banks is eligible for deduction under Section 80P(2)(d). It also held that commission income from bill collection services for the government is eligible for deduction under Section 80P(2)(a)(i).

THE PONDA EDUCATION SOCIETY EMPLOYEE CO-OPERATIVE CREDIT SOCIETY LIMITED,PONDA vs INCOME TAX OFFICER, WARD - 2(2), PANAJI

ITA 132/PAN/2019[2015-16]Status: Disposed23 Dec 2022AY 2015-16Allowed

The Tribunal held that the assessee is a credit cooperative society and not a cooperative bank, rejecting the Revenue's arguments. It further held that interest income earned on deposits with cooperative banks is eligible for deduction under Section 80P(2)(d).

PRIMARY AGRICULTURAL CREDIT CO-OPERATIVE BANK LIMITED,BELGAVI vs INCOME TAX OFFICER, WARD - 1(4), BELGAVI

ITA 193/PAN/2019[2015-16]Status: Disposed23 Dec 2022AY 2015-16Allowed

The tribunal held that interest income earned by the assessee society on investments made with cooperative banks is exempt from tax under Section 80P(2)(d). The lower authorities were not justified in denying this deduction.

THE SESA GOA EMPLOYEES CO-OP. CREDIT SOCIETY LTD.,SANKHLIM GOA vs THE ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE-2(1), PANAJI., PANAJI

ITA 45/PAN/2019[2015/16]Status: Disposed23 Dec 2022Allowed

The Tribunal held that interest income earned by a cooperative society from its investments with a cooperative bank is eligible for deduction under Section 80P(2)(d). The Tribunal followed the view that a cooperative society, being a cooperative society, is entitled to this deduction, even if the bank is a cooperative bank.

SADA URBAN CO-OPERATIVE CREDIT SOCIETY LIMITED,VASCO vs INCOME TAX OFFICER, WARD - 2(5), PANAJI

ITA 227/PAN/2019[2016-17]Status: Disposed23 Dec 2022AY 2016-17Allowed

The Tribunal held that interest income earned by the assessee on investments made with cooperative banks is eligible for deduction under Section 80P(2)(d). It also allowed deduction for income derived from bill collection services on behalf of the government.

SHIVKUMAR SANGAPPA SABOJI,BELGAUM vs INCOME TAX OFFICER, WARD - 1, (INTERNATIONAL TAXATION), PANAJI

ITA 160/PAN/2019[2013-14]Status: Disposed23 Dec 2022AY 2013-14Allowed

The Tribunal held that the assessee is eligible for the Section 54 deduction. It followed the jurisdictional High Court's decision which allowed deduction for multiple residential units, and noted that the amendment to Section 54 making it applicable to 'one residential house' was prospective.

THE KERI URBAN CO-OP. CREDIT SOCIETY LTD.,KERI, GOA vs THE INCOME TAX OFFICER, WARD-2(3), PANAJI

ITA 140/PAN/2019[2015-16]Status: Disposed19 Dec 2022AY 2015-16Allowed

The Tribunal held that the assessee's registration as a co-operative credit society is the decisive factor for claiming deductions. It also ruled that interest income from co-operative banks is eligible for deduction under Section 80P(2)(d), and the disallowance under Section 40(a)(ia) was incorrect.

THE BELGAUM COAL AND COKE CONSUMER CO-OPERATIVE ASSOCIATION LIMITED,BELGAVI vs INCOME TAX OFFICER, WARD - 1(1), BELGAVI

ITA 66/PAN/2019[2014-15]Status: Disposed19 Dec 2022AY 2014-15Allowed

The Tribunal held that income earned by a cooperative society on investments made with other cooperative banks is eligible for deduction under Section 80P(2)(d) of the Income Tax Act. The lower authorities were not justified in denying this claim.

SMT VANDANA SAMEER MAJALI,BELGAVI vs INCOME TAX OFFICER, WARD - 2(1), BELGAVI

ITA 17/PAN/2022[2015-16]Status: Disposed9 Dec 2022AY 2015-16Partly Allowed

The Tribunal held that while agreements are not mandatory for every expenditure, the genuineness and business purpose must be examined. Since the revenue did not controvert the fact that TDS was deducted on commission payments, the matter was remitted back to the Assessing Officer.

MRS SMITA NATARAJ HADIMANI,BELAGAVI vs ITO, WARD - 1, BELAGAVI

ITA 88/PAN/2022[2015-16]Status: Disposed9 Dec 2022AY 2015-16Remanded

The Tribunal held that no addition can be made based solely on an assessee's statement without corroborative material. The matter was remitted to the CIT(A) for a fresh decision after hearing the assessee.

SMT VANDANA SAMEER MAJALI,BELGAVI vs INCOME TAX OFFICER, WARD - 2(1), BELGAVI

ITA 15/PAN/2022[2013-14]Status: Disposed9 Dec 2022AY 2013-14Partly Allowed

The Tribunal held that while agreements are not mandatory for every expenditure, the genuineness and business purpose must be examined. Since the revenue did not controvert the fact that TDS was deducted on commission payments, the matter was remitted back to the Assessing Officer.

SMT VANDANA SAMEER MAJALI,BELGAVI vs INCOME TAX OFFICER, WARD - 2(1), BELGAVI

ITA 16/PAN/2022[2014-15]Status: Disposed9 Dec 2022AY 2014-15Partly Allowed

The Tribunal held that while agreements are not mandatory for every expenditure, the genuineness and business purpose must be examined. Since the revenue did not controvert the fact that TDS was deducted on commission payments, the matter was remitted back to the Assessing Officer.

MRS SMITA NATARAJ HADIMANI,BELAGAVI vs ITO, WARD - 1, BELAGAVI

ITA 87/PAN/2022[2013-14]Status: Disposed9 Dec 2022AY 2013-14Remanded

The Tribunal held that no addition can be made based solely on an assessee's statement without corroborative material. The matter was remitted to the CIT(A) for a fresh decision after hearing the assessee.

THE BELGAUM URBAN CREDIT SOUHARDA SAHAKARI LIMITED,BELGAVI vs INCOME TAX OFFICER, WARD - 2(1), BELGAVI

ITA 13/PAN/2019[2012-13]Status: Disposed2 Dec 2022AY 2012-13Remanded

The Tribunal found that the applicability of the Karnataka Souharda Sahakari Act versus the Karnataka Co-operative Act was not adequately addressed. Therefore, the matter was remanded to the CIT(A) for fresh adjudication after detailed factual verification.

THE BELGAUM URBAN CREDIT SOUHARDA SAHAKARI LIMITED,BELGAVI vs INCOME TAX OFFICER, WARD - 2(1), BELGAVI

ITA 12/PAN/2019[2011-12]Status: Disposed2 Dec 2022AY 2011-12Remanded

The Tribunal found that the applicability of the Karnataka Souharda Sahakari Act versus the Karnataka Co-operative Act was not adequately addressed. Therefore, the matter was remanded to the CIT(A) for fresh adjudication after detailed factual verification.

BHATKAL AGRICULTURE & RURAL DEVELOPMENT CO-OPERATIVE BANK LTD,BHATKAL vs ITO, WARD - 1, KARWAR

ITA 45/PAN/2020[2009-10]Status: Disposed2 Dec 2022AY 2009-10Remanded

The Tribunal found merit in the assessee's arguments regarding the discrepancies in the Section 154 order and the lack of opportunity. Therefore, the matter was remanded to the CIT(A) for fresh adjudication.

SHRI BASAVESHWAR PATTIN SOUHARD SAHAKARI NIYAMIT,GHATAPRABHA vs INCOME TAX OFFICER, WARD - 1, GOKAK

ITA 42/PAN/2020[2016-17]Status: Disposed2 Dec 2022AY 2016-17Remanded

The Tribunal noted that the Karnataka High Court has held that entities registered under the Karnataka Souharda Sahakari Act, 1997, fit the definition of 'Co-operative Society' under Section 2(19) of the Act and are entitled to the benefits of Section 80P. Since this decision was not before the lower authorities, the matter was remanded.

SHRI MURGESH R. NIRANI.,BAGALKOT vs INCOME TAX OFFICER. WARD - 2, BAGALKOT

ITA 34/PAN/2019[2014-15]Status: Disposed2 Dec 2022AY 2014-15Remanded

The Tribunal noted the inherent contradictions in the assessee's statements regarding the source of cash. However, considering the assessee's claim that submissions were not properly considered by the CIT(A), the matter was remanded.

SHREE GANESH MULTIPURPOSE CO-OPERATIVE SOCIETY LIMITED,BELGAVI vs INCOME TAX OFFICER, WARD - 1 (3), BELGAVI

ITA 22/PAN/2019[2013-14]Status: Disposed2 Dec 2022AY 2013-14Remanded

The Tribunal found that the registration status of the assessee and the exact bifurcation of interest income from different types of members were unclear. Therefore, the matter was remanded back to the CIT(A) for fresh adjudication after detailed factual verification.