Joint and several liability for firm taxes persists; retiring partners remain liable until retirement notice is received. Where a firm is liable to pay tax, interest or penalty under the Act, the firm and each partner are jointly and severally liable. A retiring partner remains liable for tax, interest or penalty up to the date of retirement whether determined or not, if the firm or retiring partner notifies the Commissioner in writing of the retirement; failure to notify within the prescribed short period extends the partner's liability until receipt of such notice by the Commissioner.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Joint and several liability for firm taxes persists; retiring partners remain liable until retirement notice is received.
Where a firm is liable to pay tax, interest or penalty under the Act, the firm and each partner are jointly and severally liable. A retiring partner remains liable for tax, interest or penalty up to the date of retirement whether determined or not, if the firm or retiring partner notifies the Commissioner in writing of the retirement; failure to notify within the prescribed short period extends the partner's liability until receipt of such notice by the Commissioner.
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