TMI Blog2022 (2) TMI 689X X X X Extracts X X X X X X X X Extracts X X X X ..... oceeds to discuss applicability of provisions of Section 80P, which has been considered by this Tribunal in its order dated 18/01/2021. Thus in our view, the Ld.CIT(TDS) sought to revise an inoperative order. We therefore, hold the impugned order passed by Ld.CIT(TDS) u/s. 263 of the Act, to be bad in law and deserves to be quashed. - Decided in favour of assessee. - ITA No. 335/Bang/2021 - - - Dated:- 28-12-2021 - Shri. B.R. Baskaran, Accountant Member And Smt. Beena Pillai, Judicial Member For the Assessee : Shri S. Ramasubramanyam, CA For the Revenue : Shri Pradeep Kumar, CIT (DR) ORDER PER BEENA PILLAI, JUDICIAL MEMBER Present appeal is filed by assessee against order dated 29/03/2021 passed by the Ld. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... enue on the grounds that the order is made without any enquiry on violation of provisions of Karnataka Co-operative Societies Act 1959. 6. That the learned Commissioner of Income-tax (TDS) erred in law and on facts in holding that the provisions of S.18 of Karnataka Co-operative Societies Act 1959 and therefore the appellant is not a Co-operative Society. 7. That the learned Commissioner of Income-tax (TDS) erred in law and on facts in holding that the threshold limit of ₹ 10,000 provided u/s 194A(3)(i)(b) is not applicable to the appellant. 8. That the learned Commissioner of Income-tax (TDS) erred in law and on facts in holding that the appellant has to be assessed in the status of `AOP' and accordingly provisions ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Ld.AO, the assessee preferred appeal before the Ld.CIT(A) who dismissed the submissions. 2.4 Aggrieved by the order of the Ld.CIT(A), the assessee filed appeal before this Tribunal . 2.5 This Tribunal vide its order dated 18.01.2021 in ITA Nos. 412 and 413/Bang/2020 held that the associate members are also members, and the assessee need not deduct tax at source. In paragraph 14 of the order the Hon'ble Tribunal set aside the order passed by the Ld.CIT(A) and directed the assessing officer to delete the demand raised u/s 201(1) and 201(1A) of the Act. 2.6 When the appeal was pending before the Hon'ble Tribunal , the Ld.CIT(TDS), Bengaluru issued a notice u/s 263 of the Act on 18.12.2020 proposing to revise ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re of the view that the associate members should be construed as members only for the purpose of sec.194A of the Act, since the definition of the term member should be construed as given in sec. 2(f) of the Karnataka Co-operative Societies Act, 1959. 12. In the case of M/s The Government Employees Co- Operative Bank Limited vs. ACIT (ITA No.1485/Bang/2019 dated 31-12- 2020), the co-ordinate bench has expressed the following view:- 11. We have considered the rival submissions. We find that a sum of ₹ 93,36,928/- is interest paid to Associate Members. The CIT(A) has, however, made a reference to the decision of Hon'ble Supreme Court in the case of Citizens Co-operative Society Ltd., Vs. ACIT in appeal No.10245 of 2017 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 14. In view of the foregoing discussions, we set aside the orders passed by Ld CIT(A) and direct the AO to delete the demand raised u/s 201(1) and 201(1A) of the Act. 6. In the present case there is no dispute that the Ld.CIT(TDS) sought to revise an order passed by the Ld.AO which has been set aside by this Tribunal by its order dated 18/01/2021. We also note that the Ld.CIT(TDS) noted the view of this Tribunal, still sought to revise an order which is not in existence as on the date of passing of impugned order. He proceeds to discuss applicability of provisions of Section 80P, which has been considered by this Tribunal in its order dated 18/01/2021. 7. Thus in our view, the Ld.CIT(TDS) sought to revise an inoperative ..... X X X X Extracts X X X X X X X X Extracts X X X X
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