Assessee was a co-operative society engaged in business of providing credit facilities only to its members.\u00a0 Assessing Officer held that\u00a0 the assessee is\u00a0 not eligible to claim deduction under section 80P since it is\u00a0 not a cooperative society. CIT(A) held that\u00a0 interest income received on investments with co-operative banks is\u00a0 not eligible for deduction under section 80P(2)(a)(i) as well as section 80P(2)(d), however, partly allowed deduction under section 80P(2)(a)(i). On appeal the Tribunal held that since interest income received by assesseeis is\u00a0 not attributable to main business of assessee, same could not be allowed as deduction under section 80P(2)(a)(i). However where\u00a0 the\u00a0 assessee had received interest from co-operative bank, issue of whether\u00a0 eligible to get deduction under section 80P(2)(d) on such interest income received from co-operative banks, being a bank in terms of apex Court decision in Kerala State Co-operative Agricultural and Rural Development Bank Ltd. v. AO (2023) 295 Taxman 675\/ 458 ITR 384 (SC).Matter remanded back for disposal afresh.\u00a0 (AY. 2017 18, 2018-19)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 80P : Co-operative societies-Interest-Co-Operative banks-Interest income not attributable to main business-Deduction is not allowable-Interest on investment made in Co-Operative banks-Eligible for claim of its cost of funds on entire interest income-Matter remanded. [S. 57, 80P(2)(a)(i), 80P(2)(d)]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-49859","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-cYb","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/49859","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=49859"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/49859\/revisions"}],"predecessor-version":[{"id":49860,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/49859\/revisions\/49860"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=49859"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=49859"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=49859"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}