#Section 80P Income Tax Act

ITAT Pune reaffirms that co-operative societies engaged in providing credit facilities exclusively to members are eligible for deduction under Section 80P(2)(a)(i) on interest income, distinguishing the Totgars precedent. The ruling reinforces binding judicial consistency for salary earners' credit societies, impacting tax liability calculations for similar entities.

ITAT Ahmedabad holds that co-operative societies remain eligible for Section 80P deduction even if they fail to file income tax returns, remanding the case for fresh assessment. The ruling underscores that procedural non-compliance cannot override substantive tax exemption entitlements for co-operative societies under the Income Tax Act.

Karnataka High Court ruled that a co-operative society's failure to respond to a show-cause notice does not automatically negate its statutory deduction under Section 80P of the Income Tax Act, if a bona fide lapse is demonstrated and prior similar income was accepted. The ruling reinforces that procedural non-compliance alone cannot override substantive tax benefits for eligible entities.