Section 57 in The Tripura Co-operative Societies Act, 1974
57. Appropriation of profits.
(1)A society earning profits shall calculate the net profits by deducting from the gross profits for the year, all interest accrued and accruing in accounts which are over due, establishment charges, interest payable on loans and deposits, audit fees, working expenses including repairs, rent, taxes and depreciation, and after providing for or writing off bad debts and losses not adjusted against any fund created out of profits. A society may, however, add to the net profits for the year, interest accrued in the preceding years, but actually recovered during the year. The net profits thus arrived at, together with the amount of profits brought forward from the previous year, shall be available for appropriation.(2)A society may appropriate its net profits to the reserve fund or any other fund for payment of dividends to members on their shares, for contribution to educational fund as may be prescribed, for payment of bonus on the basis of the support received from members and persons who are not members of its business, for payment of honoraria and towards any other purpose which may be specified in the rules or bye-laws:Provided that no part of the net profits shall be appropriate except with the approval of the general body of members in the annual general meeting in conformity with the Act, rules and bye-laws.
