Professional Documents
Culture Documents
Cooperatives: Antolin Coronel Espina Garcia Janiola Lastimosa Manahan
Cooperatives: Antolin Coronel Espina Garcia Janiola Lastimosa Manahan
2.Generate funds and extend credit to members for productive and provident
purposes;
14. To undertake any and all other activities for the effective and
efficient implementation of the provisions of this Code.
Cooperatives Not In
Restraint of Trade
No cooperatives shall be deemed
in restraint of trade or an
illegal monopoly
Cooperative Powers and
Capacities
1. Sue and be sued in its cooperative name;
2. Of succession;
2. Associate Members
– No right to vote or be voted
– Entitled only to rights as prescribed by the
by-laws
Application for Membership
1. Tendering of application
2. Approval of application by the BOD
3. Payment of acquired interest
1. To determine and
approve amendments
to the articles of
- All members who cooperation and the
- It is the highest are entitled to by-laws
2. To elect and appoint
policy-making vote under the
members of the BOD
body of the articles of and consequently, to
cooperative cooperation and remove them
the by-laws 3. To approve
developmental plans
of the cooperative
4. Such other matters
Meetings of the GA
REGULAR SPECIAL
WHO CANNOT BE
COMPOSITION AND WHO ARE QUALIFIED
TERM TO BE DIRECTORS?
DIRECTORS OR
OFFICERS?
Maintain and
File an
Official Postal Books to be Publish
Kept Open
Annual
Address Records of
Report
Accounts
• Audited according to
GAAP
a) Cooperative Code of the • Shall be kept posted in
Philippines Disposal of Records Failure to File
b) Regulations of the a conspicuous place in
• Where notices Cooperative the principal office of • The form and
Development Authority • Burning
cooperatives • Authority shall be
contents shall send
and
(CDA) •• Other method of –
Audit committee a written notice
prescribed by the
communications c) Articles of cooperation complete
responsible destruction
for • Within fifteen (15)
rules of Authority
shall be sent and by-laws of the
cooperative production of the days from the
d) Register of members • expiration of the
• Registered with books and records of Shall be filed with
e) Minutes of the meetings Provided, That at
accounts it shall be of
the time prescribed period
the CDA within one
the Cooperative f) Share books, where more thanorfive
audit (5) years old.
inspection hundred (120) days
Development applicable
g) Financial statements
Except, Those subject to civil,
• Accountant/bookkeepe Imposed Sanctions:
from the end of
Authority (CDA) •
h) Other documents criminal, and administrative
r – responsible in every fiscaland
Fines year
prescribed by laws or by- proceedings.
maintaining the Penalties
laws • Revocation
correctness and
accuracy of the
records
Rights of Cooperatives
• Surety bonds – to guarantee faithful performance of duties and
obligation.
Debtor – Member
Creditor - Cooperatives
Tax Treatment of Cooperatives
Transactions with non-members
ACCUMULATED RESERVES AND UNDIVIDED NET SAVINGS
Transactions
Not more than with its membersMore than Regardless of the amount
P10,000,000 P10,000,000
- Not subject to any taxes and fees imposed under the internal
Exempt from: Subject to: Exempt from:
• revenue
National, city, provincial,laws and• otherIncometax Tax laws • payment of local taxes
municipal or barangay • Value-Added Tax • taxes on transactions with bank
taxes of whatever name • All other taxes and insurance companies
and nature • Tax Deductible from
• Custom duties donations to charitable, Provided, That all sales or services
• Importation taxes research and educational rendered for non-members shall be
institutions and reinvestment subject to the applicable percentage
to socioeconomic projects taxes sales made by producers,
within the area of operation marketing or service cooperatives
of the cooperative
Provided further, That nothing in this
article shall preclude the examination
of the books of accounts or other
accounting records of the cooperative
NOTARY PUBLIC REGISTER OF DEEDS/ COURT AND SHERIFF’S
DEED OF TITLE FEE
NET
SURPLUS
OPTIONAL
FUND
REMAINING
NET SURPLUS
Reserve Fund
AMOUNT General: At least 10% of net surplus but
may be decreased
PURPOSE • To maintain stability of the cooperative
• To meet net losses of operations
SPECIAL RULES a) Amount allocated may be decreased when
RF already exceeds the share capital
b) It shall not be utilized for investments. But
those in excess of share capital can be
used.
Consumers
procure and distribute commodities to members and non-members
Cooperative
Producers production and processing of raw materials or goods into finished or processed
Cooperative products for sale
Marketing
engages in the supply of production inputs to members and markets their products
Cooperative
Multipurpose combines two (2) or more of the business activities of these different types of
Cooperative cooperatives
engages in medical and dental care, hospitalization, transportation, insurance,
Service Cooperative housing, labor, electric light and power, communication, professional and other
services
Advocacy
promotes and advocates cooperativism among its members and the public
Cooperative
Education owning and operating licensed educational institutions
Cooperative Capitalization
engaged in the
developing an appropriate production of fresh
providing a wide range
system of land tenure, land milk which may be
of financial services to
Purpose development, land
cooperatives and their
processed and/or
consolidation or land marketed as dairy
members
management in areas products
assist or provide
power generation utilizing savings and credit
access to housing for
Purpose new and renewable energy services and other
the benefit of its
sources financial services
regular members
co-owned and
Energy Regulatory
supervision of BSP controlled by its
Authority Commission and Department
members
of Energy
minimum paid-up
Capitalizatio Five Million Pesos
capitalization of
n (P5,000,000.00)
P 15, 000.00
Transport Water Service
Type Insurance Cooperative
Cooperative Cooperative
Regulation/
Fifteen (15) or more duly Fifteen (15) or more
Organizatio registered cooperatives natural persons
n
minimum capitalization of at
minimum paid-up minimum paid-up
Capitalizatio least 50% of those provided
capitalization of capitalization of
n under the Insurance Code of
P 15, 000.00 P 15, 000.00
the Philippines
MERGER AND
CONSOLIDATION OF
COOPERATIVES
Merger Consolidation
Formulation of Plan
Insolvency
Dissolution By Order Of The
Authority
(REViCoM)
(1) Registration by fraud
(2) Existing for an illegal purpose
(3) Willful Violation of the provisions of this
Code or its by- laws
(4) Failure to operate on a Cooperative
basis
(5) Failure to meet the required Minimum
number of members in the cooperative
Dissolution By Failure To
Organize And Operate
If a cooperative has not commenced
business and operation within two
years after the date shown on its
certificate of registration