Interest Income earned by Co-operat...
Tax deductions are claims made to minimize your taxable income and result from a taxpayer's var...
Ans.: Any society formed with the object of the social and economic betterment of its members through self-help groups with mutual aid, and the object of which is not confined to only one state i.e. which is registered in more than one state is known as Multi-State Cooperative Society.
Ans.: There are following types of Multi-Cooperative societies:
Ans.: In credit cooperative society you can do all the finance related works, they can accept deposits from members and lend to its members at a particular interest rate.
Ans.: In Housing Cooperative Society you can form, promote, and register housing cooperative society, Limited Company or any other incorporated body or association. Expenses of formation, Promotion of these societies or body corporates can be paid by out of company’s fund.
Ans.: Generally it takes 5-6 Months to register a Co-operative Society after the submission of documents with the Ministry but in some cases, it can be done earlier also provided all the required documents are available sooner.
Ans.: Form 1 and Form 2 are required to be filed for registering the co-operative society. Inform 1 details of at least 50 members from 2 different states are required with their signature. More than 2 states can be kept but additional states would require additional members. In Form 2 names of each member with their signatures are required.
Ans.: Multi-State Cooperative Society is registered under Multi-State Co-operative Society rules and regulations. It is not a personal institution owned by an individual but a fully democratic organization managed by BOD elected by members in Annual General Meeting. On the other hand, Finance Company is owned by an Individual.
Ans.: The quorum for any type of general meeting of Co-operative Society is 1/5th of a total number of ordinary members of the society. And out of this 1/5th at least 1/2nd should vote for a successful resolution.
Ans.: In case of Nidhi Companies, central Government has been empowered to remove difficulties. Provided no changes can be made in orders if two years have been a lapse from the date of order.
Ans.: No part of the funds, other than the net profit of the society shall be divided by way of Bonus or Dividend or in any other way divided among the members of the society.
Ans.: A Multi-State Co-operative Society is not allowed to make loans to its members on the security of shares or on the security of non-member.But a Multi-State Cooperative Society may make a loan to a depositor on the security of his deposit.
Ans.: A Multi-State Co-operative Society may receive deposits, raise loans and receive grants from external sources to such extent as specified in the Bye-Laws of the Society.
But the total amount of deposit and loans received during any of the financial years should not exceed ten times of the subscribed share capital and accumulated reserves sum. A Multi-State Cooperative Society can issue non-convertible debentures or other instruments to the extent of 25% of its paid-up Share Capital.