Remunaration to retired partner

Tax queries 217 views 2 replies

Raju Miskin

article Asst.

125 Points Joined July 2015

remuneration paid to retired partner allowable for deduction u/s40b?

Replies (2)

Guest

Remuneration is allowed only to working partners.

Remuneration must be authorised by partnership deed and according to the terms of partnership deed. Also the quantum of deduction or manner of its computation is to be mentioned in the deed. If there is not any such provision in deed then no deduction is allowed