9911796707
TMI Blog2024 (11) TMI 505X X X X Extracts X X X X X X X X Extracts X X X X ..... direction to the respondents to allow the waiver petition of the petitioner and quashing/ setting aside the order dated 15.07.2002, whereby the petition filed for waiver of interest under Sections 234-B and 234-C of the Income Tax Act, 1961 (for short, 'the Act') for assessment years 1996-97, 1997-98 and 1998-99 was rejected. 2. Petitioner is a cooperative society registered under the Haryana Cooperative Societies Act, 1984. Purpose for formation of this society is for making arrangements for procuring, marketing/ trading, processing/ manufacturing of agricultural products as well as by-products of its affiliated members within and outside the country and to find out and adopt latest technology and supply of goods on cooperative basis and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... force with effect from 01.04.1968 reads as under:- "80(P) (1) Where, in the case of an assessee being a cooperative society, the gross total income includes any income referred to in sub-section (2), there shall be deducted, in accordance with and subject to provisions of this section. the sums specified in sub-section (2), in computing the total income of the assessee, (2) The sums referred to in sub section (1) shall be the following, namely:- (a) in the case of a co-operative society engaged in- (iii) the marketing of the agricultural produce grown by its members." Accordingly for the AY 1998-99, the Assessing Officer disallowed the deduction claimed by the petitioner in terms of the aforesaid amended Section 80(P) (2) (a) (iii ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 09.09.1997 with direction to the respondents to pass a fresh reasoned order and the Chief Commissioner of Income Tax vide its order dated 31.03.1998 allowed the waiver of interest for the three years, as above. Therefore, there was no occasion to reject the waiver petitions for the previous three assessment years and submitted that the order dated 15.07.2002 deserves to be quashed and the interest ought not be imposed merely because of change of law with retrospective effect. It is submitted that it is on account of the High Court's order as approved by the Supreme Court that the exemption was claimed by the petitioner for payment of advance tax for the years accrued on 15.03.1996, 15.03.1997 and 15.03.1998. 7. Per contra, it is submitted ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... IT Act is a benevolent provision, which was enacted by Parliament in order to encourage and promote the growth of the cooperative sector generally in the economic life of the country and must, therefore, be read liberally and in favour of the assessee; 24.2. That once the assessee is entitled to avail of deduction, the entire amount of profits and gains of business that are attributable to any one or more activities mentioned in sub-section (2) of Section 80P must be given by way of deduction; 24.3. That this Court in Kerala State Coop. Mktg. Federation Ltd. has a construed Section 80P widely and liberally, holding that if a society were to avail of several heads of deduction, and if it fell within any one head of deduction, it would b ..... X X X X Extracts X X X X X X X X Extracts X X X X
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