1978 (10) TMI 25 - HC - Income Tax

Summary

The judgment concerned a partnership firm, Messrs. Purshottam Das Rais, Gorakhpur, and the allocation of interest income to individual partners for assessment. The court ruled in favor of the assessee, allowing deduction under section 80L of the Income-tax Act, 1961, for the interest income earned by the firm. The court emphasized that the nature of the income does not change when assessed in the hands of the partner, entitling the individual partner to the benefit of section 80L.