Co-op societies meet to discuss income tax notice


 A joint meeting of representatives of various co-operative credit societies in Goa was held on Wednesday to discuss the issue regarding the income tax notice issued by Assistant Commissioner of Income Tax.
The notice was served under section 80 (P) 2 to co-operative credit societies towards payment of income tax on profit for the assessment
year 2010-11.
26 representatives of various co-operative credit societies attended the meeting. Mr Narayan Karekar, convenor of the meeting and chairman, Jana Utkarsh Urban Co-operative Credit Society Ltd, Khorlim, Mapusa, called for unity in fighting the issue, and added that a reputed lawyer from Mumbai should be appointed if a petition is to be filed in the Bombay High Court at Panaji challenging the notice. While stating that the expenditure to be incurred for the same shall be borne by all the societies jointly, Mr Karekar also informed that Goa Rajya Sahakari Sangh will also be urged to intervene in the matter to safeguard the interest of the co-operative societies.
Chartered accountant and advisor, Mr Pradip Lad, Mapusa, while advising the representatives highlighted certain Income Tax cases wherein decisions have been given in favour of societies. He advised them against making any provision for tax in their balance sheets and urged them to go in for appeal. The Union Finance Minister could also be approached through Goan MPs for amendment of the Income Tax Act, he added.
Mr Sitaram Kanekar of the Bardez Urban Co-operative Credit Society Ltd, suggested that NASCOB could also be asked to conduct an inquiry regarding the tax notice. Mr Prakash Velip, chairman, Quepem Urban Co-operative Credit Society Ltd, also made a suggestion to form an All Goa Co-operative Credit Society Forum. Later, a 12-member committee was appointed to tackle this issue. [NT]