27 August 2011
M/S ABC & Co. was formed in July'1999 Partners had equal profit sharing ratio. During the year 2010 - 11, C retired on 31st October'2010 and the provisions of retirement are fulfilled in accordance with the retirement deed.
Query: How should be the Retirement of C be stated in the Notes to Accounts for the year 2010 - 11.
27 August 2011
Generally no need to mention such things in the notes on account. However, if the case is covered under section 44AB of the Income tax Act,1961 change in partnership has to be necessarily mention in clause 7(b) of Part B of form 3CD of the Income tax Rules,1962.
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