Partnership registration under tax law requires the deed to exist in the relevant accounting year; legal points may still be raised on reference.

Registration under section 26A of the Income-tax Act, 1922 depended on the partnership instrument existing during the accounting year relevant to the assessment year. Because the deed dated 19 July 1953 came into existence after the close of the accounting year for assessment year 1953-54, the statutory condition was not met and the firm was not entitled to registration. A legal point arising from the facts on record could still be considered in reference even if not separately raised before the Tribunal, and the respondent could support the result on any available pure question of law.

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Issues: Whether the assessee firm was entitled to registration under section 26A of the Income-tax Act, 1922 for the assessment year 1953-54 when the instrument of partnership was executed after the close of the relevant accounting year, and whether the reference question arose from the Tribunal's order.

Analysis: Registration under section 26A could be granted only if the instrument of partnership existed during the accounting year for which assessment was made. The relevant accounting year for assessment year 1953-54 had ended before the partnership deed dated 19 July 1953 came into existence, so the statutory condition was not satisfied. The objection that the point had not been raised before the Tribunal was rejected because a question of law arising on the facts on record can be considered in reference even if it was not separately argued below, and a respondent may support the result on any available legal ground.

Conclusion: The assessee firm was not entitled to registration under section 26A of the Income-tax Act, 1922 for assessment year 1953-54, and the reference was answered against the assessee.

Ratio Decidendi: For registration under section 26A, the partnership instrument must exist within the accounting year relevant to the assessment year, and a respondent may sustain the result on any pure question of law arising from the record.

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