https://www.taxtmi.com/article/detailed?id=1054 The doctrine of mutuality exempts surplus from taxation when there is complete identity between contributors and participators, so that members cannot profit from themselves. Where funds and resulting surplus arise exclusively from member contributions and are held for member benefit, mutuality can apply. Income generated from investments made with an intention to earn income, or from non-member sources, falls outside mutuality and is taxable. Transactions satisfying mutuality may be segregated from non-mutual activities so only non-mutual profits are subject to tax. en-us Fri, 10 Dec 2010 23:20:47 +0530 Fri, 10 Dec 2010 23:43:37 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=1054 The doctrine of mutuality exempts surplus from taxation when there is complete identity between contributors and participators, so that members cannot profit from themselves. Where funds and resulting surplus arise exclusively from member contributions and are held for member benefit, mutuality can apply. Income generated from investments made with an intention to earn income, or from non-member sources, falls outside mutuality and is taxable. Transactions satisfying mutuality may be segregated from non-mutual activities so only non-mutual profits are subject to tax. Articles Income Tax Fri, 10 Dec 2010 23:20:47 +0530 https://www.taxtmi.com/article/detailed?id=1054