12 October 2009
CAN ANYONE PLEASE ADVICE ME THAT 'WHETHER BUILDING FUND CREATED BY A CO-OPERATIVE SOCIETY BY COLLECTING CONTRIBUTIONS BY ITS MEMBERS IS CHARGEABLE TO TAX UNDER INCOME TAX ACT, 1961?' PLEASE GIVE THE REFERENCE OF ANY CASE LAW IN THIS RESPECT.
12 October 2009
IT IS NOT BEACAUSE IT IS A CAPITAL RECEIPT FOR SOME SPECIFIC PURPOSES. I HAVE SEEN IN MANY CO-OPERATIVE SOCIETIES SUCH AMOUNT IS NOT TAKEN TO PROFIT & LOSSS ACCOUNTS BUT DIRECTLY CREDITED TO BUILDING FUND. THEY FOLLOWS SUCH PRACTICE FROM LAST MANT YEARS.
CAclubindia
