salary to partners inf.y 0910

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

27 February 2010 from witch date we can made salary to partners with new rates i.e. on 3 lakh 90% is it 1/4/09 or the date on witch budget is pass

Aditya Maheshwari

Aditya Maheshwari (Expert)
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27 February 2010 The following has been added in respect to remuneration:
The following items shall be substituted for the existing items (1) and (2) of sub-clause (v) of clause (b) of section 40 by the Finance (No. 2) Act, 2009, w.e.f. 1-4-2010 (i . e. from A. Y. 2010 - 11)

So it is w. e. f. 01.04.2009. However the amendment also required amendments in the partnership deed and any changes in the partnership deed cannot be made retrospectively