1993 (9) TMI 71

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..... law arising out of its order dated November 24, 1980, under section 256(1) of the Income-tax Act, 1961, in respect of the assessment year 1977-78 : "Whether, on the facts and in the circumstances of the case, the Tribunal was right in law in granting registration to the firm for the assessment year 1977-78 ?" The brief facts of the case are that the assessee-firm consisted of four partners. On .....

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..... er account was closed but it was continued in the account books of the firm and the profit was credited in her account as if she was a partner in the firm. The account of Shri Nirmal Kumar represented loan to the firm and the profit was not credited to his account. In view of the above, the Appellate Assistant Commissioner held that Shri Nirmal Kumar was not a partner of the firm and the new partn .....

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..... eady been transferred and merged with the account of Shri Nirmal Kumar and by this process the profits had ultimately been credited to the account of Shri Nirmal Kumar. Therefore, no defect remains even on this account. The firm was held entitled to registration for the assessment year 1977-78. We have considered the matter. In the present case, the genuineness of the firm is not disputed and it .....

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