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TMI Blog1949 (9) TMI 31X X X X Extracts X X X X X X X X Extracts X X X X ..... partnership be registered under Section 26A of the Indian Income-tax Act, 1922, and the rules made under the Act ? and (3) Whether the application dated 23rd July, 1943, was in order regard being had to Rules 2-6B of the Indian Income-tax Rules, 1922 ? The facts briefly are that Gajadhar Ram and Benarsi Lal were cousins. Gajadhar Ram had two sons, Sundar Mal and Jagdish Prasad. Sundar Mal is dead and his widow had adopted Krishna Murari, son of Jagdish Prasad. Gajadhar Ram, Benarsi Lal, Jagdish Prasad and Krishna Murari were members of a joint Hindu family, and on the 15th September, 1932, there was a partition between them and a deed of partition was executed. On the 5th October, 1932, they purported to enter into a partnership, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... id partnership. On the 26th July, 1943, an application under Section 26A for renewal of the partnership for the year 1942-43 was filed under the signatures of Gajadhar Ram, Benarsi Lal and Jagdish Prasad. Jagdish Prasad purported to sign for Krishna Murari deceased also. The application was dismissed by the Income-tax Officer on the 15th September, 1943. There was an appeal to the Assistant Commissioner who dismissed the appeal on the 13th January, 1945, and a further appeal to the Appellate Tribunal also failed. The Appellate Tribunal was of the opinion that the certificate given in the application under Section 26A that the constitution of the firm and the individual shares of the partners had remained unaltered was incorrect, that one pa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f is void subject to such benefits that he may be entitled to get under Section 30 of the Indian Partnership Act. In the deed of partition dated the 15th September, 1932, it is mentioned that Benarsi Lal had in Sambat 1982 adopted Jagdish Prasad and in 1983 Sunder Mal died and Sundar Mal's widow adopted Krishna Murari in Sambat 1987. Under the Hindu law, therefore, the widow of Sundar Mal was the natural guardian of the minor, Krishna Murari. The deed of partnership was executed on behalf of Krishna Murari by his natural father Jagdish Prasad. After the adoption, Jagdish Prasad ceased to be the natural guardian of the minor and he had no right to enter into contract on behalf of the minor. In the absence of the consent of the natural ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that the minor, Krishna Murari, was neither a partner of the firm Hardutt Ray Gajadhar Ram nor was he admitted to the benefits of the partnership. In view of the answer given by us to the first question, the second question does not arise and does not call for any answer. There can be no doubt that the application was not in order and was not in accordance with the Rules 2-6B. Learned counsel for the assessee has urged that as the partnership was registered in the previous years and the application for renewal for the year 1941-42 which had been filed on the 30th March, 1943, had not yet been finally disposed of by the Appellate Tribunal, the application dated the 26th July, 1943, was correctly filed as an application, for renewal. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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