2001 (2) TMI 19

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..... overy of the tax arrears for that year. - The firm against which the assessment was made was dissolved with effect from March 18,1962. The father of the petitioners who was a partner died in the year 1958. He certainly was not a partner in the firm during the assessment year 1962-63 and no liability can be cast on his legal representatives solely on the ground that dissolution took place on March .....

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..... y reason of the terms of the partnership deed, that does not make a dead man a partner for the purpose of assessment and for recovery of tax arrears of the firm. Counsel for the Revenue relied on section 189(3) of the Income-tax Act, to contend that even legal representatives of a partner are liable. That subsection (3) of section 189 of the Act reads thus: "Every person who was at the time of .....

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..... uring the assessment year 1962-63 and no liability can be cast on his legal representatives solely on the ground that dissolution took place on March 18, 1962, nearly four years after the death of the partner. The impugned orders cannot be sustained and they are set aside. The writ petitions are allowed. Consequently, W. M. Ps. Nos. 5545 to 5548 of 1996 are closed. - - TaxTMI - TMITax - Inco .....

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