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2022 (1) TMI 596 - AT - Income TaxRevision u/s 263 by CIT - deduction u/s. 80P on interest income - HELD THAT:- Admittedly, the assessee is a Co-operative Society and not a Co-operative Bank. It deposited certain amounts with other Co-operative Societies on which interest income was earned. Deduction u/s.80P was claimed on such interest income, which was allowed by the AO, but questioned by the ld. CIT in the extant proceedings. We are dealing with a case in which the ld. Pr. CIT has invoked his power u/s.263 of the Act. It is trite that the exercise of such a power is ousted in case of a debatable issue. An assessment order can be termed as erroneous and prejudicial to the interest of the Revenue, if the AO has taken a view which is not legally tenable. Per contra, if two views are available on a particular issue and the AO adopts one of such views, the case goes outside the purview of revisional power exercisable by the Pr.CIT u/s.263 of the Act. We, therefore, hold that the ld. Pr. CIT was not justified in exercising the revisional power anent to the interest income in the circumstances as are obtaining in this case. We, therefore, set-aside the same. - Appeal of assessee allowed.
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