https://www.taxtmi.com/caselaws?id=177710 The Tribunal ruled in favor of the assessee-firm, determining that it was not liable to capital gains tax under sections 45(1) or 45(4) of the Income-tax Act. Additionally, the firm was deemed eligible for depreciation on assets held until 7th Nov., 1995. The Tribunal found that the conversion of the partnership firm into a joint-stock company did not constitute a distribution of assets triggering capital gains tax, as the assets vested in the company by operation of law without a conveyance deed. Furthermore, the issuance of shares to partners did not represent fair market value, precluding the application of section 45(1). en-us Mon, 11 Dec 2000 00:00:00 +0530 Fri, 15 Jan 2016 15:17:56 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=177710 The Tribunal ruled in favor of the assessee-firm, determining that it was not liable to capital gains tax under sections 45(1) or 45(4) of the Income-tax Act. Additionally, the firm was deemed eligible for depreciation on assets held until 7th Nov., 1995. The Tribunal found that the conversion of the partnership firm into a joint-stock company did not constitute a distribution of assets triggering capital gains tax, as the assets vested in the company by operation of law without a conveyance deed. Furthermore, the issuance of shares to partners did not represent fair market value, precluding the application of section 45(1). Case-Laws Income Tax Mon, 11 Dec 2000 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=177710