Guardian consent for minor's admission to partnership benefits supported firm registration under the income-tax law.

A firm was found entitled to registration where a minor had been admitted to the benefits of partnership and the materials on record showed valid guardian consent. The partnership deed stated that the minor's father and guardian was not to interfere in the conduct of business, and the father's affidavit confirmed that consent had been given for the minor's admission. The Tribunal treated these documents as sufficient proof of consent, and no adverse finding was made that the firm was not genuine. The incidental reference to transfer of money to the minor was not treated as a ground to deny registration, and the question was answered in favour of the assessee.

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Issues: Whether the assessee-firm was entitled to registration for the assessment year 1973-74 where a minor had been admitted to the benefits of partnership and the question was whether valid consent on behalf of the minor existed.

Analysis: The partnership deed contained a clause indicating that the minor's father and guardian was not to interfere with the conduct of the business, and an affidavit by the father and guardian stated that consent had been given for the minor's admission. The Tribunal treated these materials as sufficient to hold that guardian consent existed. No adverse finding was recorded that the firm was not genuine, and the incidental reference to the transfer of money to the minor was not pursued as a basis for ing registration.

Conclusion: The assessee was entitled to registration, and the question was answered in the affirmative in favour of the assessee and against the Revenue.

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