Ita/100069/2015 Of The Commissioner Of Income Tax v. The Nagarbail Salt-Owners

IN THE HIGH COURT OF KARNATAKA DATBD THIS THE 19 DAY OF NOVEMBER 2Z0O1 PRESENT THE HON’BLE MR. JUSTICE ASHOK B.HINCHIGERI ANDI THE HON’BLE MR.JUSTICE P.S.DINESH KUMARI.T.A.NO. 1000609 /2 BETWEEN 1.THR COMMISSIONER OF INCOME TAXCKHNITRAL REVENUE BUILDIATTAVAR, MANGALURUCKHNITRAL REVENUE BUILDIATTAVAR, MANGALURU 2.THERE INCOME TAX OFFICWARD-2,SANTERI KRUJAPA BUILDING HABBUWADA, KARWAR _. APPKBLANTS (BY SRI Y V RAVIRAJ, ADVOCATE) AND THR NAGARBAIL SALT-OWNERSCO-OPERATIVE SOCIBTY LIMITBD SANIKATTE, GOKARNA, KUMTA-5381 32PAN: AAAF T6229 —. RESPONDENT (BY SRI ASHOK KULKARNI & SRI H R KAMBIYAVAR, ADVOCATES) THIS ITA IS FILED U/S.2600A OF THE INCOME-TAXACT 1961, PRAYING TO FORMULATE THE SUBSTANTIALQUESTION OF LAW STATED ABOVE AND TO ALLOW THEAPPEAL AND SEI ASIDE THE ORDERS PASSED BY THE INCOME TAX APPELLATE TRIBUNAL, PANAJI BENCH,PANAJI, IN ITA NO.252/PNJ/2014, DTD: 23.01.2015 FORTHRE ASSEHSSMENIT YRKAR 2OO/-O8 AND CONFIRMORDER PASSED BY THE INCOME TAX OFFICER, WARD-2,SANTERI KRUJAPA BUILDING, HABBUWAD, KARWAR. THIS TTA HAVING BEKEEN HEREARD AND RESEFOR JUDGMENT, THIS DAY,P.S.DINESH KUMAR. J.PRONOUNCEDTHR FOLLOWING:- JUDGMENT This appeal was presented by the Revenuechallenging the common order dated 23.1.20195, iLT.A.Nos.252 to 2956 & 377/PNJ/2014 so tar as itrelates to ITA 252/PNJ/2014 for the assessment year2007-08. 2. The learned standing Counsel for the Revenue and the learned Counsel for the assessee were heard onthe following substantial question of law; “Whetherthe|respondentSocietyassessed to tax on its income as ‘person’ asdefined under Section 2(31) of Income Tax Act,1961, is entitled to claim exemption over itsprofits paid to its members and claim it as expenditure in the accounts before offering theprofitfor tax?” 3. By a detailed order of even date, this Court hasdismissed I.T.A.No.100067/2015 for the assessmentyear 2006-07. Following the said judgment, this appealis alsodismissedwithout any order as to costs od/-JUDGE od/-JUDGE