9911796707
TMI Blog2001 (9) TMI 1111X X X X Extracts X X X X X X X X Extracts X X X X ..... had already entered into a partnership on January 18, 1991 and had filed monthly returns with the department, till the end of the assessment year 1992-93. 2.. In the assessment for the assessment year 1992-93 which was completed on October 15, 1993, a demand was raised by the authorities against the petitioners for the payment of the tax arrears of the firm. At that point, the petitioners rushed to the Civil Court and sought a declaration that the firm had already been dissolved and that such dissolution had been effected on and from October 24, 1990. The assessing authority was made a party to that suit. The court ultimately declined to restrain the assessing officer from proceeding with the statutory functions under the Act, but held th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ners stating the names and addresses of all the partners and their respective shares in the business. Rule 42 provides that if a partnership is dissolved, every person who was a partner at the time of dissolution shall send within 30 days of such dissolution, a report of the dissolution to the registering authority and to the assessing authority. 8.. There is no specific provision in the Act providing for deeming a dissolved firm to continue to exist even after the date of the dissolution, in case the form required to be filed under rule 42 is not filed. 9.. The limit of the power which the authorities can exercise under the statute is that which is spelt out in the substantive enactment. That power cannot be stretched and enlarged by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f the assessees shall be limited to the date of that dissolution, ignoring the provision therein that it shall be deemed to have taken effect from an earlier date. Such determination by the authority will not in any manner disentitle the authority to proceed against the firm of which Suriya Prakash and Pandurangan were partners and recover the tax due from them to the extent it remains outstanding. 13. From the records it is seen that Suriya Prakash had applied for being declared as insolvent. The further proceedings if any in that regard is also a matter which the assessing authority should ascertain in order to lodge his claim against the estate of the said Suriya Prakash. It is open to the assessing authority to proceed against Pandu ..... X X X X Extracts X X X X X X X X Extracts X X X X
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