https://www.taxtmi.com/caselaws?id=3791 Interest income earned by a co-operative bank from loans advanced to nominal members is treated as income from ordinary banking activity and remains eligible for deduction under section 80P(2)(a)(i). The provision is read disjunctively, so the deduction is not confined to income from credit facilities extended only to members in the narrow sense suggested by the revenue. Because nominal members are included within the definition of member under the Punjab Co-operative Societies Act, 1961, lending to them forms part of the society's banking business and the resulting interest falls within the statutory deduction. en-us Mon, 03 Mar 2008 00:00:00 +0530 Sun, 27 Jul 2008 08:36:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=3791 Interest income earned by a co-operative bank from loans advanced to nominal members is treated as income from ordinary banking activity and remains eligible for deduction under section 80P(2)(a)(i). The provision is read disjunctively, so the deduction is not confined to income from credit facilities extended only to members in the narrow sense suggested by the revenue. Because nominal members are included within the definition of member under the Punjab Co-operative Societies Act, 1961, lending to them forms part of the society's banking business and the resulting interest falls within the statutory deduction. Case-Laws Income Tax Mon, 03 Mar 2008 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=3791