what is the correct tax treatment of revaluation profit in the hands of retiring Partner?? is it taxable or exempt if yes under which section please reply urgently.
Thank You
1 Replies
CA Dhanesh Jangid
(CA)
(105 Points)
Replied 21 September 2014
Receipt of such funds is realisation of asset and there is no transfer by the retiring partners attracting any capital gain tax liability. The case of retiring partner is fully supported by decision of the honble Supreme Court in Tribhovandas G. Patel, 236 ITR 515 and Mohanbhai Pamabhai, 165 ITR 166.
Recent Topics
- Avoiding tax audit in case of intraday equity loss
- Form 3CEAB
- Form 3CEAA and Form 3CEAB
- DIR 3 Web KYC
- Can i declare LTCG income as business income if I
- Stock entry in new software
- I have an EMI collection shop, what is its SAC cod
- Making payment once in quarter possible under QRMP
- Master File Documentation related
- Applicability of 44AD needs clarification
Related Threads
CAclubindia
