https://www.taxtmi.com/caselaws?id=7504 A partnership deed clause diverting profits from any later business started without the other partners' written consent was treated as an overriding obligation that diverted income at source to the firm. On that construction, the partner's earnings from the later concern were not his real income and were not taxable in his hands. Because the deed vested those profits in the firm, the same amount was assessable in the firm's hands, and the alternative deduction claim under section 10(2) did not survive. The article distinguishes diversion at source from mere application of income after accrual. en-us Tue, 08 Oct 1968 00:00:00 +0530 Fri, 20 Feb 2009 18:42:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=7504 A partnership deed clause diverting profits from any later business started without the other partners' written consent was treated as an overriding obligation that diverted income at source to the firm. On that construction, the partner's earnings from the later concern were not his real income and were not taxable in his hands. Because the deed vested those profits in the firm, the same amount was assessable in the firm's hands, and the alternative deduction claim under section 10(2) did not survive. The article distinguishes diversion at source from mere application of income after accrual. Case-Laws Income Tax Tue, 08 Oct 1968 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=7504