What is Totgars Co-operative Sale Society Ltd. v. ITO authority for?

The interest income earned by a cooperative society from investing its surplus funds in fixed deposits with banks is not "derived from" its eligible business activities and is taxable as "income from other sources" under Section 56, thus not qualifying for deduction under Section 80P.

How many judgments cite Totgars Co-operative Sale Society Ltd. v. ITO?

1,283 judgments on BharatTax cite Totgars Co-operative Sale Society Ltd. v. ITO (322 ITR 283), spanning 2014 to 2026.

Which sections of the Income Tax Act does Totgars Co-operative Sale Society Ltd. v. ITO come up under?

It is most often cited in judgments turning on Section 80P(2)(d), Section 80P(2)(a)(i), Section 143(3), Section 80P, Section 80P(4), Section 250.

Totgars Co-operative Sale Society Ltd. v. ITO (322 ITR 283)

Mehsana Taluka Madhyamik Teachars Credit and Consumers Sahakari Mandali, Mehsana vs. ITO, Ward-2, Mehsana Presently Ward-1, Mehsana

In the result, both the appeals of the assessee are allowed

ITA 1923/AHD/2025[2020-21]Status: DisposedITAT Ahmedabad09 Dec 2025AY 2020-21

Bench: Dr.Brr Kumar & Shri Siddhartha Nautiyal

For Appellant: Shri Mehal Doshi, A.RFor Respondent: Shri Abhijit, Sr. DR

Section 143(1)(a)Section 263Section 80PSection 80P(2)Section 80P(2)(d)Section 80P(4)

…a cooperative society itself. [Para 28]  Reliance placed by the revenue on decisions of the Karnataka High Court in Totgars’ Cooperative Sale Society (2017) 395 ITR 611 and Supreme Court in case of Totgars Cooperative Sale Society Ltd v. Income Tax Officer 322 ITR 283 (S.C), the Karnataka High Court appears to have taken into consideration the amendment in section 194A(3)(v) wherein the cooperative bank is excluded from the applicability of tax to be deducted at source. However, it appears that the interpretation made by the Karnataka High Court to the effect that the cooperative banks have been excluded from…

Mehsana Taluka Madhyamik Teachars Credit and Consumers Sahakari Mandali, Mehsana vs. ITO, Ward-2, Mehsana Presently Ward-1, Mehsana

In the result, both the appeals of the assessee are allowed

ITA 1728/AHD/2025[2015-16]Status: DisposedITAT Ahmedabad09 Dec 2025AY 2015-16

Bench: Dr.Brr Kumar & Shri Siddhartha Nautiyal

For Appellant: Shri Mehal Doshi, A.RFor Respondent: Shri Abhijit, Sr. DR

Section 143(1)(a)Section 263Section 80PSection 80P(2)Section 80P(2)(d)Section 80P(4)

…a cooperative society itself. [Para 28]  Reliance placed by the revenue on decisions of the Karnataka High Court in Totgars’ Cooperative Sale Society (2017) 395 ITR 611 and Supreme Court in case of Totgars Cooperative Sale Society Ltd v. Income Tax Officer 322 ITR 283 (S.C), the Karnataka High Court appears to have taken into consideration the amendment in section 194A(3)(v) wherein the cooperative bank is excluded from the applicability of tax to be deducted at source. However, it appears that the interpretation made by the Karnataka High Court to the effect that the cooperative banks have been excluded from…

Bombay Mercantile Co-Op Bank Ltd Employees Co-Op Credit Society Ltd, Mumbai vs. ITO-17(1)(3), Mumbai

ITA 6453/MUM/2025[2013-14]Status: DisposedITAT Mumbai09 Dec 2025AY 2013-14

Bench: SHRI OM PRAKASH KANT, ACCOUNTANT MEMBER SHRI RAHUL CHAUDHARY (Judicial Member)

For Appellant: Shri Vijay JoshiFor Respondent: Shri Leyaqat Ali Aafaqui

Section 143(3)Section 80PSection 80P(2)(a)Section 80P(2)(d)

…5/01/2016], and Mystique Rose Cooperative Housing Society Ltd.: vs. ITO 22(2)(3) [ITA No. 1290/Mum/2021, dated 30/03/2022]. 15. We further note that the judgment of the Hon’ble Supreme Court in the case of Totgars Cooperative Sale Society Ltd. vs. ITO (2010) 322 ITR 283 (SC) was rendered in the context of Section 80P(2)(a) of the Act (wherein expression ‘the whole of the amount of profits and gains of business attributable to any one or more of such activities’ has been used), whereas in Section 80P(2)(d) of the Act expression used is ‘any income by way of interest’. Thus, ‘any income by way of interest’ derived…

Bombay Mercantile Co-Op Bank Ltd Empoyees Co-Op Credit Society Ltd, Mumbai vs. ITO-17(1)(3), Mumbai

ITA 6452/MUM/2025[2014-15]Status: DisposedITAT Mumbai09 Dec 2025AY 2014-15

For Appellant: Shri Vijay JoshiFor Respondent: Shri Leyaqat Ali Aafaqui

Section 143(3)Section 80PSection 80P(2)(a)Section 80P(2)(d)

…5/01/2016], and Mystique Rose Cooperative Housing Society Ltd.: vs. ITO 22(2)(3) [ITA No. 1290/Mum/2021, dated 30/03/2022]. 15. We further note that the judgment of the Hon’ble Supreme Court in the case of Totgars Cooperative Sale Society Ltd. vs. ITO (2010) 322 ITR 283 (SC) was rendered in the context of Section 80P(2)(a) of the Act (wherein expression ‘the whole of the amount of profits and gains of business attributable to any one or more of such activities’ has been used), whereas in Section 80P(2)(d) of the Act expression used is ‘any income by way of interest’. Thus, ‘any income by way of interest’ derived…

Bhavana Co-Op Credit Society Niyamita, Sirsi vs. Income Tax Officer, Ward-1, Sirsi

In the result the appeal filed by the assessee is allowed

ITA 1074/BANG/2025[2020-21]Status: DisposedITAT Bangalore03 Dec 2025AY 2020-21

Bench: Shri Prashant Maharishi & Shri Keshav Dubeyassessment Year : 2020-21

For Appellant: Sri V. Srinivasan, A.RFor Respondent: Sri Shivanand H Kalakeri, D.R

Section 142(1)Section 143(2)Section 143(3)Section 263Section 80P(2)(a)Section 80P(2)(i)

…d failed to examine properly and considered the same in the total income under the head income from other sources in view of the decision of the Hon’ble Supreme Court in the case of Totagars Co-operative Sale Society Limited vs. Income Tax Officer reported in 322 ITR 283 (SC) which held that utilization of surplus fund/ investments are taxable under the head “income from other sources” and therefore not eligible for deduction under section 80P(2)(i)(a) of the Act. Further, the ld. Principal Commissioner also of the opinion that since the income earned was interest on FD/ Reserve fund/Liquidity assets with co-oper…

Gonikoppal Primary Rural Agricultural Credit Co-Operative Society Limited, Kodagu vs. Pr. Commissioner of Income Tax, Bengaluru-3, Bengaluru

In the result the appeal filed by the assessee is allowed

ITA 1072/BANG/2025[2020-21]Status: DisposedITAT Bangalore03 Dec 2025AY 2020-21

Bench: Shri Prashant Maharishi & Shri Keshav Dubeyassessment Year : 2020-21

For Appellant: Sri V. Srinivasan, A.RFor Respondent: Sri Shivanand H Kalakeri, D.R

Section 142(1)Section 143(2)Section 143(3)Section 263Section 80P(2)(a)Section 80P(2)(i)

…d failed to examine properly and considered the same in the total income under the head income from other sources in view of the decision of the Hon’ble Supreme Court in the case of Totagars Co-operative Sale Society Limited vs. Income Tax Officer reported in 322 ITR 283 (SC) which held that utilization of surplus fund/ investments are taxable under the head “income from other sources” and therefore not eligible for deduction under section 80P(2)(i)(a) of the Act. Further, the ld. Principal Commissioner also of the opinion that since the income earned was interest on FD/ Reserve fund/Liquidity assets with co-oper…

Avkar Urban Co-Op Credit Society Ltd., Surat vs. ACIT Circle 3(3), Surat

In the result, the appeal of the assessee is allowed

ITA 715/SRT/2025[2017-18]Status: DisposedITAT Surat02 Dec 2025AY 2017-18

Bench: Ms. Suchitra Raghunath Kamble & Shri Bijayananda Prusethआयकर अपील सं./Ita No.715/Srt/2025 Assessment Year: (2017-18) (Hybrid Hearing) Avkar Urban Co-Op. Credit Soc. Vs. Acit, Ltd., Circle – 3(3), 113-114, Sunrise Chambers, Surat Varachha Road, Mini Bazar, Surat - 395006 "थायीलेखासं./जीआइआरसं./Pan/Gir No: Aaaaa8341B (Appellant) (Respondent) Appellant By Shri Aakash Bakashwala, Ca Respondent By Ms Neerja Sharma, Sr. Dr Date Of Hearing 17/11/2025 Date Of Pronouncement 02/12/2025

Section 143(2)Section 2Section 250Section 80Section 80P(2)(a)Section 80P(2)(d)

…f Rs.1,84,177/- has been earned from the Surat District Cooperative bank. As per section 80(P)(2)(d) of the Act, interest earned ought to be out of investment from cooperative society. He relied on the decisions of Totagar’s Co-op. Sales Society Ltd. vs. ITO, 322 ITR 283 (SC), SBI vs. CIT, 72 taxmann.com 64 (Guj.) and sustained the addition made by AO. Accordingly, he dismissed the appeal of the appellant. 5. Aggrieved by the order of CIT(A), both the assessee filed appeal before the Tribunal. The learned Authorized Representative (ld. AR) of the assessee filed a paper book including copy of ITR, computation, P&L…

Income Tax Officer, Mumbai vs. Nariman Bhavan Premises Co Op Society Ltd, Mumbai

In the result, the appeal of the Revenue is dismissed

ITA 3659/MUM/2023[2015-16]Status: DisposedITAT Mumbai02 Dec 2025AY 2015-16

Bench: Hon‟Ble Justice (Retd.) C. V. Bhadang & Shri Vikram Singh Yadavassessment Year : 2015-16 Income Tax Officer, Mumbai Nariman Bhavan Premises Co Op Room No. 118, 1St Floor, Society Ltd. G Block, Kautilya Bhavan, Vs. 227 Backbay Reclamation, Bandra Kurla Complex (E), Nariman Point, Mumbai – 400021. Mumbai – 400051. [Pan: Aajn0320J] (Appellant) (Respondent) For Assessee : Shri K. Gopal / Om Kandalkar For Revenue : Ms. Nidhi Agarwal, Sr. Dr (Virtually Present) Date Of Hearing : 02-12-2025 Date Of Pronouncement : 02-12-2025 Order Per Vikram Singh Yadav, A.M : This Is An Appeal Filed By The Revenue Against The Order Of The Learned Commissioner Of Income Tax (Appeals) - National Faceless Appeal Centre (Nfac), Delhi [„Ld. Cit(A)‟], Dated 14-08-2023, Pertaining To Assessment Year (Ay) 2015-16. 2. At The Outset, It Is Noted That This Is A Recalled Matter Wherein Co-Ordinate Bench Vide Its Order Dated 22.09.2025 In Ma No. 244/M/2024 Has Recalled The Earlier Order Dated 08.05.2024 & The Matter Has Now Come Up For Adjudication Before Us.

For Appellant: Shri K. Gopal / Om KandalkarFor Respondent: Ms. Nidhi Agarwal, Sr. DR

Section 3Section 80Section 80PSection 80P(1)Section 80P(2)(d)

…at par with other banks would no more be entitled for claim of deduction under Sec. 80P(4) of the Act. Insofar the reliance placed by the Pr. CIT on the judgment of the Hon'ble Supreme Court in the case of Totgars Co-operative Sale Society Ltd. vs. ITO (2010) 322 ITR 283 (SC) is concerned, we are of the considered view that the being distinguishable on facts had wrongly been relied upon by him. The adjudication by the Hon"ble Apex Court in the aforesaid case was in context of Sec. 80P(2)(a)(i), and not on the entitlement of a cooperative society towards deduction under Sec. 80P(2) (d) on the interest income on th…