ITR 5 for Society

[Awmtea Nups]

The society is engaged as hand holding agency by the State Organic Mission whose main mission is to develop certified organic products and to link farmers with consumers. The society is in receipt of earmarked funds and disburse/incur the funds accordingly with some balance remaining at the end of FY but does not produce profit/surplus nor loss/deficit as it does not produce any revenue apart from earmarked funds received. Funds are transferred to Income & Expenditures a/c from Earmarked funds equal to the expenditures incurred as per the schemes and balance lying as fund balance in the balance sheet. While filing ITR 5 should the society fill up all the details of Balance Sheet and Profit & Loss or should the section 'No Account Case' suffice? Also, should the depreciation sheet be filled up for the assets procured under the funds as this has the effect of giving loss. Kindly Advice, thanking you in advance

AI Summary

Guidance Sought on Filing ITR 5 for Society with Earmarked Funds: Balance Sheet, P&L, and Depreciation Concerns A society acting as a hand-holding agency for a State Organic Mission is questioning how to file ITR 5. The society receives earmarked funds, which are fully expended according to specific schemes, resulting in neither profit nor loss. They are unsure whether to complete the full Balance Sheet and Profit & Loss details or if the 'No Account Case' section is sufficient. Additionally, they seek guidance on whether to fill out the depreciation sheet for assets purchased with these funds, as it might result in showing a loss.