https://www.taxtmi.com/caselaws?id=63334 Section 80P(2)(a)(i) distinguishes between carrying on the business of banking and providing credit facilities to members. The members-only restriction applies to the credit-facility limb, not to banking business, so a co-operative bank does not lose the deduction merely because it transacts with non-members. The analysis also notes that where loan applications were made before membership but membership was obtained before disbursement and interest was received from members, the credit-facility condition was satisfied on the facts. The provision was therefore read as allowing deduction for income from banking business and, on the alternative factual footing, for credit facilities to members as well. en-us Fri, 04 Apr 2008 00:00:00 +0530 Wed, 12 Jun 2013 18:36:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=63334 Section 80P(2)(a)(i) distinguishes between carrying on the business of banking and providing credit facilities to members. The members-only restriction applies to the credit-facility limb, not to banking business, so a co-operative bank does not lose the deduction merely because it transacts with non-members. The analysis also notes that where loan applications were made before membership but membership was obtained before disbursement and interest was received from members, the credit-facility condition was satisfied on the facts. The provision was therefore read as allowing deduction for income from banking business and, on the alternative factual footing, for credit facilities to members as well. Case-Laws Income Tax Fri, 04 Apr 2008 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=63334