Reconstruction of Firm
This query is : Resolved
11 December 2009
Dear Sir,
I have a client who is in the business of construction. He works through a partnership company. He makes residential schemes. Now for each scheme he has different partners and different profit sharing ratios.So he makes new partnership for every scheme and on completion of the scheme dissolves the firm. By this he needs to maintain seperate accounts for each firm and file a return seperately. For the sake of administrative convinience he want to make the constitution of the firm in such a way that all the accounts are clubed together and he can file on one income tax return.
Kindly advise me for the same.
I have a client who is in the business of construction. He works through a partnership company. He makes residential schemes. Now for each scheme he has different partners and different profit sharing ratios.So he makes new partnership for every scheme and on completion of the scheme dissolves the firm. By this he needs to maintain seperate accounts for each firm and file a return seperately. For the sake of administrative convinience he want to make the constitution of the firm in such a way that all the accounts are clubed together and he can file on one income tax return.
Kindly advise me for the same.
11 December 2009
I afraid it can not be done in IT. For IT each Firm is seperate and identified with respective Partnership Deeds and specific profit/loss sharing ratios. Hence only seperate return should be filed for each firm. It is better to advice him to start a Private Limited Co., and enter into agreement for each scheme and pay off the third parties (partners)
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- ITC temporary reversal and reclaim
- GST on export of services and Input Credit
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- Inventory of finished goods
- Applicable TDS rate for sale of property in Nov 2024
- Quiery in relation to GST liability in case of an advocate who has obtained GST registration.
- Should I report my US salary for January, February, March in Schedule FA?
- GST ON EXPORT COMMISSION
- Sale of property furniture sale
- BUYING PROPERTY COULD NOT FILE 26QB
- Gst input for FY 23-24
- Regarding Waiver of Interest levied u/s 50 of PGST/CGST Act
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
Trending Online Classes
CAclubindia
