https://www.taxtmi.com/caselaws?id=779546 ITAT CHANDIGARH - AT held that membership subscriptions form a common corpus and qualify for mutuality exemption, as they are used for members' collective welfare. However, interest earned on surplus corpus invested in a bank FDR does not fall within the mutuality principle and constitutes taxable income. The assessing addition on interest was sustained in principle but, as the total income remained below the basic exemption limit for the year under appeal, no tax was ultimately payable and the assessee's appeal was allowed. en-us Wed, 22 Jan 2025 00:00:00 +0530 Tue, 07 Oct 2025 13:18:37 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=779546 ITAT CHANDIGARH - AT held that membership subscriptions form a common corpus and qualify for mutuality exemption, as they are used for members' collective welfare. However, interest earned on surplus corpus invested in a bank FDR does not fall within the mutuality principle and constitutes taxable income. The assessing addition on interest was sustained in principle but, as the total income remained below the basic exemption limit for the year under appeal, no tax was ultimately payable and the assessee's appeal was allowed. Case-Laws Income Tax Wed, 22 Jan 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=779546