Applicability of Sec.56, Income Tax

[Ethirajan Parthasarathy]

A partner at the time of retirement receives some amount over and above his credit balances. There are quite a few decisions that excess amount received is not subject to Capital Gain tax. My query is whether such excess amount can be brought to tax by the dept. u/s 56.

Posts / Replies

[DR.MARIAPPAN GOVINDARAJAN]

In my veiw the said amount may be treated other income for the purpose of income tax act.