https://www.taxtmi.com/caselaws?id=39686 A genuine partnership for registration requires a real severance of business and assets, not a nominal re-labelling of an existing concern. The text explains that where the Satna activity remained financially controlled from Katni, there was no true discontinuance or redistribution of assets, and the alleged partnership among members of two Hindu undivided families lacked prior partition, the arrangement was treated as unreal and tax-motivated. On that basis, the Satna concern was not regarded as a separate business unit, the partnership was not valid in law, and the statutory conditions for registration under section 26A were not satisfied, so Satna profits could not be excluded from the Katni income. en-us Thu, 12 Apr 1973 00:00:00 +0530 Mon, 19 Apr 2010 16:37:28 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=39686 A genuine partnership for registration requires a real severance of business and assets, not a nominal re-labelling of an existing concern. The text explains that where the Satna activity remained financially controlled from Katni, there was no true discontinuance or redistribution of assets, and the alleged partnership among members of two Hindu undivided families lacked prior partition, the arrangement was treated as unreal and tax-motivated. On that basis, the Satna concern was not regarded as a separate business unit, the partnership was not valid in law, and the statutory conditions for registration under section 26A were not satisfied, so Satna profits could not be excluded from the Katni income. Case-Laws Income Tax Thu, 12 Apr 1973 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=39686