9911796707
TMI Blog2004 (2) TMI 19X X X X Extracts X X X X X X X X Extracts X X X X ..... unts of the partners will be sufficient compliance with the Rules for grant of registration. – Held that the factual position affirmed by the appellate authority and by the Tribunal does not call for interference at our hands. – revenue appeal dismissed - - - - - Dated:- 3-2-2004 - Judge(s) : KUMAR RAJARATNAM., SHANTANU KEMKAR. JUDGMENT The judgment of the court was delivered by KUMAR RAJARATNAM C. J. - This is a reference filed by the Revenue under section 256(2) of the Income-tax Act, 1961. The facts very briefly are that the assessee/non-applicant filed a return for the year 1987-88 on a total income of Rs. 1,82,530 claiming the status of firm. Tine Assessing Officer in the assessment proceedings under section 185(1)(b)of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ch was duly registered with the Registrar of Firms, Bhopal. Clause 4 of the partnership deed has clearly provided for distribution of shares in profits and losses amongst the partners. The firm earned profits of Rs. 1,82,530. A deed of partnership dated August 3,1979, wherein Sh. Mohd. Iqbal was a partner in the firm named and styled as 'M/s. Kale Khan Mohd. Hanif, Bhopal'. The possibility that Sh. Mohd. Iqbal could have share of goodwill and trademark in the old firm cannot altogether be brushed aside. I have also the benefit of going through the literal English translation of the order of the learned judge, it is apparent from his order that both the parties were contesting that they were owners of goodwill and trade-mark. It has to be no ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the firm for registration under the provisions of the Act. This court in CIT v. Digvijay Traders [1996] 136 CTR 166 held that in a similar situation, such a question of fact is not referable because no question of law was involved in the reference. In CIT v. Khanna Theatre [1990] 184 ITR 156 (MP), it was held that under the provisions of the Income-tax Rules, 1962, prior distribution of profits and losses among the partners is not compulsory for entitlement of the firm to registration but a certificate that they "will be" divided or credited in future to the accounts of the partners will be sufficient compliance with the Rules for grant of registration. We do not think any question of law is involved in this reference, much less a serious ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
