https://www.taxtmi.com/caselaws?id=17604 A dissolved firm could not be assessed to agricultural income-tax on dividends received after dissolution for supplies made earlier, because the firm's existence for tax purposes cannot be extended beyond dissolution unless the statute creates a clear deeming fiction. Section 27 was confined to income that accrued before dissolution and did not cover post-dissolution receipts in the hands of erstwhile partners. The amended section 26(4), which addresses discontinuance of business, also did not revive the firm's assessability, and the validating provision could not sustain assessments lacking statutory foundation. Assessment orders were therefore unsustainable to that extent and were quashed in part. en-us Tue, 01 Apr 1997 00:00:00 +0530 Wed, 23 Sep 2009 15:44:03 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=17604 A dissolved firm could not be assessed to agricultural income-tax on dividends received after dissolution for supplies made earlier, because the firm's existence for tax purposes cannot be extended beyond dissolution unless the statute creates a clear deeming fiction. Section 27 was confined to income that accrued before dissolution and did not cover post-dissolution receipts in the hands of erstwhile partners. The amended section 26(4), which addresses discontinuance of business, also did not revive the firm's assessability, and the validating provision could not sustain assessments lacking statutory foundation. Assessment orders were therefore unsustainable to that extent and were quashed in part. Case-Laws Income Tax Tue, 01 Apr 1997 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=17604