Deduction conditions for co-operative societies are modified to link the benefit to dividend distribution before the return deadline.

Section 203 of the Income-tax Act is amended to include section 150 in the relevant deduction reference and to insert a special rule for co-operative societies that have exercised the prescribed option under sub-section (5). For such assessees, the deduction under section 149(2)(d)(ii) is modified so that it applies only up to the amount of dividend distributed to members at least one month before the due date for filing the return of income under section 263(1).

---

---

---