TAXATION OF PARTNERS INCOME

[K RAJKUMAR]

A PARTNER OF A PARTNERSHIP FIRM, CLAIMS PERSONAL DRIVERS SALARY AS DEDUCTION

FROM HIS SALARY AND INTEREST ON CAPITAL .IS IT AN ALLOWABLE EXPENSE?

[k Nagarajan]

the salary and interest from partnership firm is an income from Profession/Business.So any expense including Driver's salary which is for the purpose of the Business is an allowable deduction.

AI Summary

Salary for Personal Driver Deductible from Partner's Income as Business Expense, Says Guidance on Professional Income A partner in a partnership firm inquired whether the salary paid to a personal driver can be claimed as a deduction from their salary and interest on capital. The response clarified that since the salary and interest from the partnership firm are considered income from a profession or business, any expenses incurred for business purposes, including the driver's salary, are allowable deductions.