Shanti Prime Publication Pvt. Ltd.
Sec. 80P(2)(a)(i) of Income Tax Act, 1961— Deduction—Assessees were co-operative Societies carrying on the business of banking or providing credit facilities to its members. As per section 80P(2)(d) any income by way of interest or dividends derived by the co-operative society from its investments with any other co-operative society will be allowed as deduction. Hence, interest received only from cooperative bank was allowed as deduction u/s 80P(2)(d) and remaining interest received was added to the total income of the assessee under the head Income from Other Source. High Court disposed of the Appeal by remanding the matter to the AO, to work out interest earned on the reserve fund, if invested and allow deduction therefore in addition to the deduction already allowed in applying section 80P(2)(d), as in the assessment order. - PR. CIT V/s ELECTRO URBAN CO-OPERATIVE CREDIT SOCIETY LTD. - [2020] 426 ITR 215 (CAL)