9911796707
TMI Blog1984 (11) TMI 133X X X X Extracts X X X X X X X X Extracts X X X X ..... e asst. yr. 1978-79 and directing the ITO to make a fresh assessment in the status of an unregistered firm. 2. The assessee was a partnership firm. The accounting period relevant to the asst. yr. 1978-79, was from 1st Aug., 1976 to 31st July, 1977. During the said previous year one of the partner died on 30th June, 1977 and another retired on the same date. A fresh deed of partnership was execut ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... whole of the accounting year as a single assessment was to be made. He, therefore, set aside the assessment and directed the ITO as aforesaid. Feeling aggrieved, the assessee has come up in the present appeal. 3. We have heard the ld. counsel for the assessee and the ld. Departmental Representative. It was contended on behalf of the assessee that the CIT's order has become erroneous after the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ange took place because of the death of one of the partners. Under s. 39 of the Partnership Act, a firm gets automatically dissolved on the death of a partner and, therefore by virtue of the amendment, referred to above, s. 187 became inapplicable to this case and two separate assessment were to be made in terms of s. 188. The ld. Departmental Representative, on the other hand, relied upon the rul ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hat it was a partnership at will and there was no provision that the death of a partner the firm would not dissolve. The result, therefore, is that the provisions of the Partnership Act would apply and the firm automatically got dissolved on the death of a partner and the new firm reconstituted thereafter was a successor of the old firm. Therefore, two assessments were required to be made and the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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