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2022 (11) TMI 1258 - AT - Income TaxDeduction u/s 80P(2)(a)(i) - Claim denied as it is only a Urban Co-operative Bank then a cooperative society and the said interest income represents deposits made in a cooperative bank and thus not entitled for the relief in issue as per section 80P(4) - HELD THAT:- Section 80P(2)(d) of the Act allows whole deduction of income by way of interest or dividend derived by Cooperative Society from its investments with any other co-operative society. This provision does not make any distinction with regard to the source of investment because this section envisages deduction in respect of any income derived by cooperative society from in his investment with a cooperative society. So the Revenue is not required to look another of investment whether it was formed as required within time or otherwise. As heard the considered of the case of Totagars Co-operative Sales Society Ltd [2010 (2) TMI 3 - SUPREME COURT] which was relied by the Ld. DR and find that the Hon’ble Apex Court has dilapidated on the issue of deduction u/s 80P(2)(a)(i) but not on section 80P(2)(d). We also observed that in the case of Totagars Cooperative Sales Society Ltd, [2017 (1) TMI 1100 - KARNATAKA HIGH COURT] itself the Hon’ble High Court of Karnataka has allowed the claim of deduction u/s 80P(2)(d). Considering all the judgments we hereby hold that the investment of assessee in cooperative bank is eligible investment u/s 80P(2)(d) of the Act. The interest of the said investment related to Cooperative Society, assessee is eligible for deduction u/s 80P(2)(a)(i) of the Act. Accordingly the appeals of the assessee are allowed. Appeal of assessee allowed.
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