Tax on Income of certain Resident Co-operative societies - Section (New) 203/ (Old) 115BAD

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....sp;section 204) of this Chapter Eligibility - A co-operative society resident in India Concessional Tax Rate  • Income tax rate = 22% on its total income • Surcharge = 10% of the Income tax • Health & Education Cess = 4% of income-tax and surcharge • Effective tax rate = 25.168%. Computation of Total Income in the following manner (a) Disallowed claiming certain deductions - Chapter VIII except Section 146 or Section 150 - under the following provisions listed in Section 205(1)(a) to (g) (a) Section 33(8) :- Additional depreciation on any new the Plant & Machinery specified ....

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....ax year - The option shall become invalid for that tax year and for all subsequent tax years. - The other provisions of the Act shall apply as though the option had not been exercised for that tax year or any subsequent tax years. Sub-section (4): Special provision for IFSC units • If the co-operative society has a unit located in an International Financial Services Centre (IFSC) and exercises the option under sub-section (5): - The restrictions in sub-section (1) are relaxed slightly. - The unit can claim deduction under Section 147, subject to the conditions of that section. Sub-section (5): Exercising the option • Prescribed Manner - The provisions of this sect....

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....me. • Assessee opting for section 115BAD shall not be required to pay AMT. • Brought forward AMT credit cannot be utilized against income, u/s 115BAD. • Therefore, if assessee has b/f AMT credit, it should first exhaust the AMT credit and thereafter opt for sec 115BAD in a subsequent PY. • Certain Restrictions [ Section 115BAD(2) ] • Assessee should not claim following deductions • Section 10AA: Deductions from the Special Economic Zones (SEZ) unit. • Section 32(1)(iia): Additional Depreciation • Section 32AD: Expenditure that is allocated on machinery and new plants manufactured in the notified backward areas in the states of Bihar,....

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....ss and depreciation referred to in clause (ii) of section 115BAD(2) shall be deemed to have been given full effect to and no further deduction for such loss or depreciation shall be allowed for any subsequent year; • Exception where there is a depreciation allowance in respect of a block of assets which has not been given full effect to prior to the assessment year beginning on the 1st day of April, 2021, corresponding adjustment shall be made to the written down value of such block of assets as on the 1st day of April, 2020 in such manner as may be prescribed, if the option under section 115BAD(5) is exercised for a previous year relevant to the assessment year beginning on the 1st day of April, 2021. • Section 11....