Members of cooperative societies who wish to claim a tax deduction for savings deposited during income year 2008, should notify their credit union by April 30, 2009.
This is according to an official of the Inland Revenue Department, who explained that the credit union would issue a Certificate of Savings to members for the income year ending December 31, 2008. Persons intending to claim a tax deduction should therefore contact the credit union, so that the amounts claimed could be set aside.
“The maximum amount that can be claimed is $3,000, and the savings must be held for three years. However, if the amount claimed or any part of it is withdrawn within the three year period, the amount withdrawn will be subject to a 20 percent withholding tax at the time of withdrawal,” the official stressed.
Persons requesting further information should contact their credit union, or the Inland Revenue Help Desk at 228-2937 (22TAXES).