ITR 5 for Co-Op Housing Society

Hey Mohan! Here's the scoop on filing ITR-5 for Co-operative Housing Societies registered under the Co-Operative Societies Act, especially regarding balance sheet, P&L, and claiming deduction u/s 80P(2)(d):

1. Is filing Balance Sheet and P&L mandatory in ITR-5?

• Yes, Co-operative Societies filing ITR-5 are required to furnish details of their Balance Sheet and Profit & Loss account.

• The ITR-5 form has schedules specifically to capture the financial statements.

• Even if your society is non-profit or mainly managing housing, the Income Tax Department expects audited financial details to process your return correctly.

2. Regarding deduction under Section 80P(2)(d):

• Section 80P(2)(d) provides a deduction on income by way of interest received from other Co-operative Societies.

• To claim this deduction, you must:

  • Report the interest income correctly under the income heads.

  • Provide audited financial statements backing the income and expenses.

• The balance sheet and P&L details will support your claim and help the department verify the deduction.

Summary:

Tips:

• Make sure the Balance Sheet and P&L are audited by a Chartered Accountant if applicable under your state’s Co-op Societies Act.

• Maintain proper records of interest received from other societies.

• Double-check entries in ITR-5 to avoid errors or notices.