1953 (12) TMI 34

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..... Act by the Income-tax Appellate Tribunal (Delhi Bench). Whether a firm, which comes into existence by oral agreement, without it being alleged that it was even from the outset intended that its constitution should be governed or regulated by a written instrument, is entitled to be registered under section 26A, if on the date of the application for registration the terms and conditions of the .....

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..... 8th of September, 1949. These partnerships were relied on in connection with the firm's assessments for the years 1949-50 and 1950-51 relating to account years ending on the 31st of March, 1949, and the 31st of March, 1950. His applications for the registration of both these firms based on the deed of gift dated the 17th of August, 1948, and the partnership agreement dated the 8th of Septembe .....

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..... the purposes of the Act. I do not think there can be any doubt about the correctness of the view of the Appellate Tribunal expressed in full in its judgment in the appeal Messrs. Ram Gulam-Madan Lal v. Income-tax Officer, G. Ward, Delhi, which has been printed in full as part of another similar case (Civil Reference No. 22 of 1952) Since reported as Padam Parshad Rattan Chand v. Commissioner of I .....

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..... hat the partners in these firms act foolishly in alleging the previous existence of the partnerships on the same terms in the vain hope of securing retrospective concessions, and in the most literal sense of the words a partnership cannot be said to be constituted under an instrument when admittedly it has been in existence previously. On the other hand the intention of the law is clear, that when .....

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..... eated as constituted under the instrument as from the date of the instrument. I would accordingly answer the question framed for our decision in the affirmative. It must be clearly understood that in returning this answer we are not expressing any opinion as to the effect of the answer on the assessment of the firm for the year 1950-51, which will now be decided by the Income-tax authorities, or o .....

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