https://www.taxtmi.com/caselaws?id=176110 A partner's share in a partnership concern, including transferable rights arising from a managing agency arrangement, was treated as property and therefore a capital asset within section 2(4A) of the Income-tax Act, 1922. The reciprocal arrangement by which that share was passed to another partner, together with transfer of corresponding interests and a cash payment, was held to contain the elements of sale, exchange or transfer under section 12B. The cash amount was regarded as consideration for transfer of the capital asset, not compensation for loss of future profits. The receipt was therefore chargeable as capital gains. en-us Fri, 18 Jan 1957 00:00:00 +0530 Sat, 12 Dec 2015 13:22:10 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=176110 A partner's share in a partnership concern, including transferable rights arising from a managing agency arrangement, was treated as property and therefore a capital asset within section 2(4A) of the Income-tax Act, 1922. The reciprocal arrangement by which that share was passed to another partner, together with transfer of corresponding interests and a cash payment, was held to contain the elements of sale, exchange or transfer under section 12B. The cash amount was regarded as consideration for transfer of the capital asset, not compensation for loss of future profits. The receipt was therefore chargeable as capital gains. Case-Laws Income Tax Fri, 18 Jan 1957 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=176110