https://www.taxtmi.com/caselaws?id=20316 Where a co-operative society carries on separate taxable and exempt businesses, deduction under section 80P(2) must be computed on profits after deducting proportionate common expenditure attributable to the exempt activity, not on gross receipts. The text further states that expenditure incurred to earn non-taxable income cannot be allowed in full against taxable income merely because the assessee has an overall composite business. The operative principle is apportionment of common costs according to the activity generating the income, with the exempt income and taxable income each bearing their relatable expenditure. en-us Fri, 08 Oct 1993 00:00:00 +0530 Fri, 13 Nov 2009 12:39:27 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=20316 Where a co-operative society carries on separate taxable and exempt businesses, deduction under section 80P(2) must be computed on profits after deducting proportionate common expenditure attributable to the exempt activity, not on gross receipts. The text further states that expenditure incurred to earn non-taxable income cannot be allowed in full against taxable income merely because the assessee has an overall composite business. The operative principle is apportionment of common costs according to the activity generating the income, with the exempt income and taxable income each bearing their relatable expenditure. Case-Laws Income Tax Fri, 08 Oct 1993 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=20316