Chunakhali Samabay Krishi Unnayan Samity Ltd. Vs. I.T.O., Ward-56(3), Murshidabad

Parties Involved

Facts Summary

The assessee, Chunakhali Samabay Krishi Unnayan Samity Ltd., is a co-operative society formed by cultivators for the benefit of its members, primarily for marketing agricultural produce and purchasing agricultural seeds and livestock. The society claims to maintain proper books of accounts, audited by the Auditor of the Co-operative Societies and certified by a chartered accountant as per Tax Audit provisions. The assessee derived income from interest on loans to its members and interest on fixe…

Legal Issues

• 1. Whether the Assessing Officer erred in disallowing the deduction claimed under section 80P without issuing a show cause notice.
• 2. Whether the disallowance of the deduction under section 80P was arbitrary and contrary to law.

Precedents Relied Upon

4 precedents cited in this judgement.

Judgment Outcome