Governor speaks against income tax on cooperative sector

Vijayapura, Jan 27: Karnataka Governor Vajubhai Vala today asked cooperators to oppose Income Tax on the cooperative sector and seek its withdrawal from Central Government.

Speaking after inaugurating the centenary celebrations of Shri Siddheshwar cooperative Bank here, he said cooperators should raise their voice against Income Tax on profits of cooperative institutions.

He said cooperative banks had no profit motive and their aim was to serve humanity.

Gujarat and Karnataka were on top of the list of cooperative movement he said and asked other states to follow them.

He said cooperative banks are playing a vital role in serving the real poor by uplifting them economically. He appreciated the state government led by Siddaramaiah for encouraging the cooperative sector.

Siddaramaiah urged cooperators to maintain distance from politics.

Participating as the chief guest, he said the cooperative movement is very strong in the state.

Recalling services of S S Patil who established the first cooperative bank in 1905 at Gadag, he said he is the father of cooperative movement. It was the first cooperative bank in the whole of Asia, he said and added that cooperative sector was playing a significant role in human life.

Cooperation Minister Mahadev Prasad said 33 lakh people in cooperative sector have been identified under 'Yashshvini health scheme' in the state.

Ministers M B Patil and S R Patil recalled services of late FA GU Halakatti who found this bank to serve the poor of the drought hit district.