9911796707
TMI Blog2012 (5) TMI 56X X X X Extracts X X X X X X X X Extracts X X X X ..... authorized by partnership deed to a working partner, the working partner has been defined in explanation 4 opportunity Section 40(b), Clause 8 of the partnership deed relates to the entitlement of remuneration to the to the partners - It is mentioned in clause 8 of the partnership deed that remuneration will be payable as per norms fixed by the relevant provisions of the Income-tax Act, thus the q ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , the Appellate Authority set aside the order of Assessing Officer. The order of Appellate Authority i.e. Commissioner of Income Tax (Appeals)-II, Jaipur, has been affirmed by the Income Tax Appellate Tribunal, Jaipur Bench 'B', Jaipur. The finding of Tribunal reads as under :- 4. We have heard the ld. DR and considered the written submission filed by the ld. AR . Section 40(b) (v) specifies ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... id / credited to their account provided that such remuneration / salary can be increased / decreased as per mutual agreement as the partners mutually decide to be adjusted at the end of the year as per the relevant of the Income-tax Act, 1961. The excess amount so paid/credited, if any, would be debited / credited to their capital account.'' This partnership deed has authorized the remuneration ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ase partnership deed authorizes the payment of salary. We have also considered the decisions which have been mentioned by the ld. CIT (A) in his order. We, therefore, feel that the ld. CIT (A) was justified in allowing the remuneration payable to the partners. Before parting with this appeal, we would like to state that the remuneration receivable by the partners is taxable in their hands and it i ..... X X X X Extracts X X X X X X X X Extracts X X X X
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