CO-OPERATIVE CANE DEVELOPMENT UNION LTD.,BAHRAICH vs. INCOME TAX OFFICER-1, BAHRAICH

In the result, all the three appeals are partly allowed

Bench: Sh. Sudhanshu Srivastava & Sh. Nikhil Choudharyita Nos.599, 600 & 601/Lkw/2025 A.Ys. 2013-14, 2018-19 & 2020-21 Cooperative Cane Development Vs. Income Tax Officer-1, 423A, Union Ltd., Bahraich, C/O Vaishnavpuram, Huzoorpur Ayyubi Chambers, Raniganj, Road, Bahraich, Uttar Pradesh Lakhimpur Kheri-262701, U.P. 271801 Pan: Aaaac8503F (Appellant) (Respondent) Assessee By: Sh. K.R. Rastogi, C.A. Revenue By: Sh. R.R.N. Shukla, Addl Cit Dr Date Of Hearing: 21.01.2026 Date Of Pronouncement: 30.01.2026 O R D E R Per Bench These Three Appeals Have Been Filed Against The Orders Of The Ld. Cit(A), Nfac On 25.06.2025 (For The Assessment Year 2013-14) & 26.06.2025 (For The Assessment Year 2018-19) & 4.07.2025 (For The Assessment Year 2020-21), Wherein The Ld. Cit(A) Has Partly Allowed The Appeals Of The Assessee Against The Various Orders Passed By The Ld. Ao Under Section 143(3) For The Assessment Years 2013-14, 2018-19 & 2020-21. The Grounds Of Appeal In The Aforesaid Three Appeals Are As Under:- A.Y. 2013-14 “(1) That The Authorities Below Erred On Facts & In Law In Not Allowing Deduction U/S 80P(2)(A)(Iii) & 80P(2)(I) Of I. T. Act On Interest Received On Investments Held With Banks In Form Of F.D.R.'S & Interest On Saving Bank Account Rs. 72,38,730/-. (2) That The Authorities Below Erred On Facts In Not Considering Investments In Deposits With Banks Has Been Made As Per Statutory Requirements & The Interest So Realized On Such Investments Shall Be Attributable To The Activity Of Providing Credit Facilities & Marketing Agriculture Produce. Cooperative Cane Development Union Ltd. A.Ys. 2013-14, 2018-19 & 2020-21

disallowed, in its case. 5. The assessee is aggrieved at all these orders of the ld. CIT(A)and has come before us in appeal against them. As all the appeals are on the same issue, they are being taken up together for the sake convenience. Sh. K.R. Rastogi, C.A. (hereinafter referred to as the ld. AR) appearing on behalf

CO-OPERATIVE CANE DEVELOPMENT UNION LTD.,BAHRAICH vs. INCOME TAX OFFICER-1, BAHRAICH

In the result, all the three appeals are partly allowed

Bench: Sh. Sudhanshu Srivastava & Sh. Nikhil Choudharyita Nos.599, 600 & 601/Lkw/2025 A.Ys. 2013-14, 2018-19 & 2020-21 Cooperative Cane Development Vs. Income Tax Officer-1, 423A, Union Ltd., Bahraich, C/O Vaishnavpuram, Huzoorpur Ayyubi Chambers, Raniganj, Road, Bahraich, Uttar Pradesh Lakhimpur Kheri-262701, U.P. 271801 Pan: Aaaac8503F (Appellant) (Respondent) Assessee By: Sh. K.R. Rastogi, C.A. Revenue By: Sh. R.R.N. Shukla, Addl Cit Dr Date Of Hearing: 21.01.2026 Date Of Pronouncement: 30.01.2026 O R D E R Per Bench These Three Appeals Have Been Filed Against The Orders Of The Ld. Cit(A), Nfac On 25.06.2025 (For The Assessment Year 2013-14) & 26.06.2025 (For The Assessment Year 2018-19) & 4.07.2025 (For The Assessment Year 2020-21), Wherein The Ld. Cit(A) Has Partly Allowed The Appeals Of The Assessee Against The Various Orders Passed By The Ld. Ao Under Section 143(3) For The Assessment Years 2013-14, 2018-19 & 2020-21. The Grounds Of Appeal In The Aforesaid Three Appeals Are As Under:- A.Y. 2013-14 “(1) That The Authorities Below Erred On Facts & In Law In Not Allowing Deduction U/S 80P(2)(A)(Iii) & 80P(2)(I) Of I. T. Act On Interest Received On Investments Held With Banks In Form Of F.D.R.'S & Interest On Saving Bank Account Rs. 72,38,730/-. (2) That The Authorities Below Erred On Facts In Not Considering Investments In Deposits With Banks Has Been Made As Per Statutory Requirements & The Interest So Realized On Such Investments Shall Be Attributable To The Activity Of Providing Credit Facilities & Marketing Agriculture Produce. Cooperative Cane Development Union Ltd. A.Ys. 2013-14, 2018-19 & 2020-21

disallowed, in its case. 5. The assessee is aggrieved at all these orders of the ld. CIT(A)and has come before us in appeal against them. As all the appeals are on the same issue, they are being taken up together for the sake convenience. Sh. K.R. Rastogi, C.A. (hereinafter referred to as the ld. AR) appearing on behalf

M/S AYODHYA DEVELOPMENT AUTHORITY(FORMERLY AYODHYA FAIZABAD DEVELOPMENT AUTHORITY),AYODHYA vs. THE DY. COMMISSIONER OF INCOME TAX (EXEMPTION), LUCKNOW

Bench: Sh. Sudhanshu Srivastava & Sh. Nikhil Choudhary

disallowing the exemption u/s 11 on the ground that the appellant is hit by the provisions of section 13(1)(c) read with section 13(3) of Income-tax Act, 1961. 5. That the Ld. Commissioner of Income-tax (Appeals) has erred in law and on facts by not treating the appellant as Charitable Institution, even though the same

ACIT CIRLCE-1, LUCKNOW vs. U P COOPERATIVE SUGAR FACTORIES FEDERATION LIMITED, LUCKNOW

In the result, the appeal of the Revenue is partly allowed\nfor statistical purposes

disallowed this deduction, treating the interest income as 'income from other sources'. The appeal was filed with a delay of 17 days, which was condoned.", "held": "The Tribunal held that the interest income earned by the cooperative society from investments in cooperative and nationalized banks, made in accordance with statutory provisions (Sections 58

MUHAMMED AFTAB ALAM,LUCKNOW vs. JURISDICTIONAL ASSESSING OFFICER, DCIT -6,, LUCKNOW NEW

In the result, the appeal of the assessee stands allowed

Bench: Shri. A. D. Jainassessment Year: 2018-19 Muhammed Aftab Alam V. Dcit-6, 8/4, Rak Marg, Sf Colony Lucknow Lucknow Tan/Pan:Acqpa5602E (Appellant) (Respondent) Appellant By: Shri Hemant Jain, Advocate Respondent By: Shri Amit Nigam, D.R. Date Of Hearing: 05 05 2022 Date Of Pronouncement: 17 05 2022 O R D E R This Is Assessee’S Appeal Against The Order Of The Ld. Cit(A), Nfac, New Delhi, Dated 18.11.2021, For Assessment Year 2018-19, Raising The Following Grounds Of Appeal: 1. The Ld. Cit(A) Grossly Erred Both On Facts & In Law In Confirming The Intimation U/S 154 Sent By Cpc Where By It Processed The Return Of Income Of Appellant For Ay 2019-20 At Rs.36,47,045/-.

disallowed the claim of payment of Rs.15,58,782/- under section 36(1)(va) of the Income Tax Act, observing

M/S AYODHYA FAIZABAD DEVELOPEMENT AUTHORITY,FAIZABAD vs. DY. COMMISSIONER OF INCOME TAX (EXEMPTION), LUCKNOW

disallowing the exemption \nu/s 11 on the ground that the appellant is hit by the provisions of section 13(1)(c) read with \nsection 13(3) of Income-tax Act, 1961. \n5. That the Ld. Commissioner of Income-tax (Appeals) has erred in law and on facts by not \ntreating the appellant as Charitable Institution, even though the same

M/S AYODHYA FAIZABAD DEVELOPEMENT AUTHORITY,FAIZABAD vs. DY. COMMISSIONER OF INCOME TAX (EXEMPTION), LUCKNOW

disallowing the exemption \nu/s 11 on the ground that the appellant is hit by the provisions of section 13(1)(c) read with \nsection 13(3) of Income-tax Act, 1961.\n5. That the Ld. Commissioner of Income-tax (Appeals) has erred in law and on facts by not \ntreating the appellant as Charitable Institution, even though the same

M/S AYODHYA DEVELOPMENT AUTHORITY (FORMELY AYODHYA FAIZABAD DEVELOPMENT AUTHORITY),LUCKNOW vs. THE DY. COMMISSIONER OF INCOME TAX (EXEMPTION), LUCKNOW, LUCKNOW

In the result all six appeals filed by the assessee are partly allowed

disallowing the exemption \nu/s 11 on the ground that the appellant is hit by the provisions of section 13(1)(c) read with \nsection 13(3) of Income-tax Act, 1961. \n5. That the Ld. Commissioner of Income-tax (Appeals) has erred in law and on facts by not \ntreating the appellant as Charitable Institution, even though the same

TINICH SAHKARI GANNA SAMITI LIMITED,BASTII vs. ITO, BASTI

Bench: Shri. Sudhanshu Srivastava

disallowance of expenses of Rs.3508236/- by dismissing the appeal. ITA No.295/LKW/2023 Page 4 of 28 3. Because on the whole facts, circumstances of the case and materials on record, the Id. CIT(A) has erred in denying allowability of deduction under section 80P(2)(a)/ 80P(2)(a) (iii) of the Income tax act 1961, in respect of the assessed

TINICH SAHKARI GANNA SAMITI LIMITED,BASTI vs. ITO, , BASTI

Bench: Shri. Sudhanshu Srivastava

disallowance of expenses of Rs.3508236/- by dismissing the appeal. ITA No.295/LKW/2023 Page 4 of 28 3. Because on the whole facts, circumstances of the case and materials on record, the Id. CIT(A) has erred in denying allowability of deduction under section 80P(2)(a)/ 80P(2)(a) (iii) of the Income tax act 1961, in respect of the assessed

GONDA COOPERATIVE CANE DEVELOPMENT UNION LTD,GONDA vs. INCOME TAX OFFICER, GONDA

In the result, the appeal of the assessee is treated as partly allowed for statistical purposes

Bench: The Ld. Cit(A) Who Has Dismissed The Appeal Of The Assessee. Being Further Aggrieved, The Assessee Is In Appeal Before The Income Tax Appellate Tribunal (Itat).

sections 58 and 59 of the U.P. Cooperative Societies Act, 1965 and 173 of the U.P. Cooperative Societies Rules, 1968 . Ground numbers 1 to 5 are accordingly allowed. With regard to Ground no 6 on the issue of adding back the interest on PF balance of the seasonal employees of the society, we observe that the same cannot be considered

SAHKARI GANNA VIKAS SAMITI LTD VIKRAMJOT BASTI,VIKRAMJOT vs. INOCME TAX OFFICER BASTI -NEW, INCOME TAX OFFICE BASTI

The appeal of the assessee stands allowed for statistical purposes

Bench: Shri. Sudhanshu Srivastavaassessment Year: 2017-18 Sahkari Ganna Vikas V. The Income Tax Officer Samiti Ltd. Basti Vikramjot, Basti (U.P) Tan/Pan:Aabas4611B (Appellant) (Respondent) Appellant By: None Respondent By: Shri R.R.N. Shukla, D.R. O R D E R This Appeal Has Been Preferred By The Assessee Against The Order Dated 05.12.2024, Passed By The Addl/Jcit(A)-3, Bengaluru For Assessment Year 2017-18. 2.0 The Brief Facts Of The Case Are That The Assessee Is A Co- Operative Society Registered Under The Co-Operative Societies Act, 1912. The Main Activity Of The Assessee Was Marketing Of Sugar Cane Grown By The Cane Growers, Who Were Members Of The Assessee-Society. The Assessee Filed Its Return Of Income For The Year Under Consideration On 21.03.2018, Declaring A Total Income Of Rs.1,73,170/-. During The Year Under Consideration, The Assessee-Society Had Received Commission From Sugar Mills On Supply Of Sugar Cane Of Rs.70,16,032/-, Which Was Claimed As Exempt In Terms Of Section 80P(2)(A)(Ii) Of The Income Tax Act

disallowed the assessee’s claim. He prayed that the appeal of the assessee be dismissed. ITA No.486/LKW/2025 Page 7 of 15 8.0 I have heard the Ld. Sr. D.R. and have also perused the material on record. The Lucknow Bench of the ITAT had an occasion to consider an identical issue in the case of Co-operative Cane Development Union

MORADABAD DEVELOPMENT AUTHORITY,MORADABAD vs. DCIT(EXEMPTION), LUCKNOW

In the result, ITA No. 1071/Del/2020, ITA No

Bench: Sh. Sudhanshu Srivastava & Sh. Nikhil Choudharyita Nos.273,199/Lkw/2019 A.Ys. 2014-15 & 2015-16 Dy. Commissioner Of Income Tax Vs. M/S Moradabad Development (Exemption), Lucknow Authority, Kanth Road, Moradabad Pan:Aajfm7731M (Appellant) (Respondent)

section 2(15) and the various case laws on the subject, which again were outside the purview of jurisdiction under section 154 and his own powers under section 250. 23. It may not be out of place to mention at this stage, that the Hon’ble Lucknow Bench of the ITAT has dealt with this issue (of violation of section

MORADABAD DEVELOPMENT AUTHORITY,MORADABAD vs. DCIT(EXEMPTION), LUCKNOW

In the result, ITA No. 1071/Del/2020, ITA No

Bench: Sh. Sudhanshu Srivastava & Sh. Nikhil Choudharyita Nos.273,199/Lkw/2019 A.Ys. 2014-15 & 2015-16 Dy. Commissioner Of Income Tax Vs. M/S Moradabad Development (Exemption), Lucknow Authority, Kanth Road, Moradabad Pan:Aajfm7731M (Appellant) (Respondent)

section 2(15) and the various case laws on the subject, which again were outside the purview of jurisdiction under section 154 and his own powers under section 250. 23. It may not be out of place to mention at this stage, that the Hon’ble Lucknow Bench of the ITAT has dealt with this issue (of violation of section

MORADABAD DEVELOPMENT AUTHORITY,MORADABAD vs. DY. CIT(EXEMPTION), LUCKNOW

In the result, ITA No. 1071/Del/2020, ITA No

Bench: Sh. Sudhanshu Srivastava & Sh. Nikhil Choudharyita Nos.273,199/Lkw/2019 A.Ys. 2014-15 & 2015-16 Dy. Commissioner Of Income Tax Vs. M/S Moradabad Development (Exemption), Lucknow Authority, Kanth Road, Moradabad Pan:Aajfm7731M (Appellant) (Respondent)

section 2(15) and the various case laws on the subject, which again were outside the purview of jurisdiction under section 154 and his own powers under section 250. 23. It may not be out of place to mention at this stage, that the Hon’ble Lucknow Bench of the ITAT has dealt with this issue (of violation of section

DY. CIT(EXEMPTION), LUCKNOW vs. MORADABAD DEVELOPMENT AUTHORITY, MORADABAD

In the result, ITA No. 1071/Del/2020, ITA No

Bench: Sh. Sudhanshu Srivastava & Sh. Nikhil Choudharyita Nos.273,199/Lkw/2019 A.Ys. 2014-15 & 2015-16 Dy. Commissioner Of Income Tax Vs. M/S Moradabad Development (Exemption), Lucknow Authority, Kanth Road, Moradabad Pan:Aajfm7731M (Appellant) (Respondent)

section 2(15) and the various case laws on the subject, which again were outside the purview of jurisdiction under section 154 and his own powers under section 250. 23. It may not be out of place to mention at this stage, that the Hon’ble Lucknow Bench of the ITAT has dealt with this issue (of violation of section

M/S RAJ KUMAR SINGH & CO.,LUCKNOW vs. DY. COMMISSIONER OF INCOME TAX, LUCKNOW

In the result, the appeal of the assessee is partly allowed

Bench: Shri Sudhanshu Srivastava & Shri Anadee Nath Misshra

disallowing appellant's claim for interest payment of Rs.1,58,01,118/- in the year under consideration, nexus between the interest bearing borrowings made by it and withdrawals made by the partners and their relatives is necessary? I hold that it is not. Because their Lordships of Hon'ble High Court of Allahabad has already held in the case

SHYAM SUNDER GUPTA,KANPUR vs. DY. COMMISSIONER OF INCOME TAX-1, KANPUR

In the result, the appeal of the assessee is dismissed

section 2(22)(e) are not applicable to the facts of the case,\nthe addition made be deleted.\nGround no. 4 relates to addition of Rs.13 26 600/- u/s 41 1 of the Income\nTax Act, 1961\nThe AO while dealing with the issue has held as under:\n5. Further, from Schedule “A” of balance sheet relating to sundry creditors