tax. cal. of partnership firm.

This query is : Resolved

CA Abhishek Singh (Querist)
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02 July 2010 hello everyone,

given below is the tax computation of a partnership firm for a.y. 2010-2011'

net profit of partnership firm- 100000
+ remuneratin dr to p/l-100000

book profits=200000

allowable rem as per sec. 40(b)-
=200000*90%=180000

taxable income=20000

plz. clarfify whether the allowble remuneration will be 100000 or 180000.

my id abhipcc@rediffmail.com
thanx in advance.

Aditya Maheshwari

Aditya Maheshwari (Expert)
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02 July 2010 I really doubt whether an expense can be claimed in computation though not claimed in profti & less a/c

hence deduction should be Rs. 100,000/-.