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2017 (6) TMI 72 - ITAT AHMEDABADTreatment to the income of Assessee co-operative Bank as income from other sources instead of income from business - Held that:- Undoubtedly, this society has been registered under the Gujarat Society Act. Appellant has filed a copy of Resolution No.NSB/12/2005/M.97/Ch, passed by the Gujarat Government, Agriculture and Co-operative Department. Investments are stated at the cost of acquisition. ₹ 1 crore was invested with interest @12.5%, with a premium of ₹ 4.25 lacs. This amount was received and credited to account with Axis bank on its maturity. However, the premium amount is shown in the balance sheet as other current asset, and not expended out in the profit and loss account. It has been held in case of Jafari Momin Vikas Co-op Credit Society Ltd. vs. CIT. [2012 (6) TMI 838 - ITAT AHMEDABAD ], in matter, Co-operative Credit Society purely functioning as society without bank is entitled to exemption as provided above in the Act.Since the society duly registered and functioning as credit societies be allowed exemption u/s.80(P)(2)(a)(i) of the Act. We allow the set off brought forward business loss of earlier years against income. See Morvi Mercantile Bank Limited. (In Liquidation) Versus Commissioner Of Income-Tax, Gujarat [1975 (8) TMI 31 - GUJARAT High Court] - Decided in favour of assessee.
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