Tax on Income of certain Resident Co-operative societies - Section (New) 203/ (Old) 115BAD

Concessional tax regime for resident co-operative societies requires an irrevocable election and forfeiture of certain deductions and carryforwards.

Concessional tax regime for resident co-operative societies permits taxation at a flat concessional rate conditional on a prescribed, irrevocable option; the society must compute income without specified deductions and cannot set off earlier losses or unabsorbed depreciation attributable to those disallowed deductions, which are deemed fully given effect to and not allowable in subsequent years. Failure to satisfy the regime's conditions invalidates the option for that and subsequent years and normal provisions then apply.