In case of all co-operative societies, except co-operative banks (excluding a primary agricultural credit society or a primary co-operative agricultural and rural development bank), full deduction is allowable in respect of the following income:
|A.Where 100% deduction is allowed||I||100% of the profits, included in Gross Total Income, attributable to any one or more of the following activities are deductible:
|II||Profits of certain primary co-operative societies:
100% of the profits, included in Gross Total Income are deductible in the case of a co-operative society, being a primary society engaged in supplying milk, oilseeds, fruits or vegetables raised or grown by its members to:
|III||Income from Investment with other Co-operative Societies:
100% of the profits, included in Gross total Income are deductible in respect of any income by way of interest or dividends derived by the co-operative society from its investment with any co-operative society.
|IV||Income from letting of “godowns or warehouse”:
100% of the profits, included in Gross Total Income are deductible in respect of any income derived by the co-operative society from the letting of godowns or warehouses for storage, processing or facilitating the marketing of commodities.
|General Deduction To Co-Operative Societies for Income Other Than Referred Above||For Other Incomes except referred to in I to IV above, there is a general deduction as under from the Gross Total Income:
1. Where such co-operative society is a consumers’ co-operative society, Rs. 100,000/-
2. In any other case, Rs. 50,000/-
Note: Consumer co-operative society means a society for the benefit of the consumers.
Tax Rates as applicable are as under:
|Sr No||Total Income||Tax Rate|
|2.||Rs.10,000/- to Rs.20,000/-||Rs.1,000/- +20% on income in excess of Rs.10,000/-|
|3.||Above Rs.20,000/-||Rs.3,000/- +30% on income in excess of Rs.20,000/-|
Special tax rates applicable to a Co-operative society:
|Taxable Income||Tax Rate|