https://www.taxtmi.com/caselaws?id=289416 A mere alteration in the profit-sharing ratio among existing partners does not amount to a change in the constitution of a firm under Section 26(1) of the Income-tax Act, 1922. The expression was read as referring to a change in the personnel of the firm, not a reallocation of profits between the same partners. On the facts, the partners remained unchanged and only their shares were revised after the accounting year, so the firm was not reconstituted for assessment purposes. Assessment therefore had to proceed on the basis of the profit share earned during the accounting year, not the later altered ratio. en-us Wed, 12 Jan 1938 00:00:00 +0530 Wed, 29 Jul 2020 16:28:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=289416 A mere alteration in the profit-sharing ratio among existing partners does not amount to a change in the constitution of a firm under Section 26(1) of the Income-tax Act, 1922. The expression was read as referring to a change in the personnel of the firm, not a reallocation of profits between the same partners. On the facts, the partners remained unchanged and only their shares were revised after the accounting year, so the firm was not reconstituted for assessment purposes. Assessment therefore had to proceed on the basis of the profit share earned during the accounting year, not the later altered ratio. Case-Laws Income Tax Wed, 12 Jan 1938 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=289416