1979 (9) TMI 99 - AT - Income Tax

Summary

The appellant, M/s Sri Rama & Co., applied for registration as a partnership firm. The firm consisted of two partners, but one partner did not invest any capital. The tax authorities denied registration, suspecting the firm's genuineness. The appellate tribunal overturned the decision, stating that lack of capital contribution and minor discrepancies in statements do not invalidate the firm. The tribunal directed the tax authority to grant registration for the assessment year 1976-77. The appeal was allowed.