Assessee earned interest on deposits of its surplus funds with banks and Government securities and claimed deduction under 80P(2)(a)(i) of the Act. Assessing Officer allowed the claim. On revision PCIT held that interest from surplus funds invested in deposits with banks and Government securities is assessable under the head income from other sources under section 56 which did not qualify for deduction under section 80P(2)(a)(i)of the Act. Tribunal held that the amount deposited in bank by a society was not due to its members and it was not liability to its members and, interest earned from such deposits in bank was eligible for deduction under section 80P(2)(a)(i) of the Act. On appeal by the Revenue the High Court affirmed the order of the Tribunal and also observed that since Principle Commissioner had not carried out any enquiry on his own and had just invoked revision and set aside assessment and remanded it back to Assessing Officer to pass fresh assessment order on issue of claim of deduction under section 80P, invocation of revision under section 263 was unjustified. (AY. 2016-17)