TaxTMI 
TaxTMI 
1979 (4) TMI 63
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....venue is directed against the order of the AAC cancelling the order of the ITO refusing grant of registration to the assessee. 2. The ITO rejected the grant of registration to the firm for the asst. yr 1974-75, his order for doing so is as under:- The assessee firm has applied for fresh registration for the year 1974-75 in Form No. 11 & 11A alongwith deed of partnership executed. According to the deed Sh. Kishanchand s/o Budhamal, Uttambai w/o Budhamal and Premchand are the partners of the firms. As a matter of fact Sh. Kishanchand was all along partner in the capacity of HUF. He has claimed partition in respect of his capital. In fact there is no partition. Only the capital of the partner Kishanchand has been bifurcated into three parts....
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....il, 1968 with 4 partners viz., Sh. Kishanchand, Smt. Uttambai, Sh. Premchand (Minor) & Govind Ram (Minor). This firm continued with the same status and constitution till the asst. yr 1973-74. Sh. Kishanchand was a partner in the firm in his representative capacity as karta of the HUF. On 12th Dec., 1973 the was a change in the constitution giving effect to the same w.e.f. 1st April, 1973, when Shri. Govind Ram (minor) was dropped and Shri Kishanchand was made a partner in the capacity of an individual. Sh. Kishanchand had effected a partial partition in the family on 1st April, 1973, amongst his wife Smt. Ratnadevi, his minor son Shri. Sanjeev Kumar and himself. A fresh deed of partnership was executed and a fresh registration was applied i....
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.... Kishanchand is in full control of the finance of the firm. The ld. AAC justifiably did not subscribe to the view of the ITO. We find that prior to the reconstitution of the firm Smt. Uttambai was a partner in the firm along with her son Kishanchand and that firm had been given the benefit of registration year after year, till the asst. yr 1973-74. It is only, during the year, asst. Year 1974-75, the ld. ITO got up from his 'Ripvan Winkle' sleep' and started the question of benami. Further, the ITO has not brought out any material in support of his case. In view of this fact, the AAC has rightly allowed the registration of the firm. ITA No. 657 (Jab) / 77-78 4. This appeal is directed against the order of the AAC. There are five groun....
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....0 disallowed by the ITO. We have gone through the orders of the lower authorities and we do not find reason to interfere with the order of the AAC. 6. Third ground of the Revenue, is against the relief of Rs. 2,174 in respect of payment to 'Cloth Merchant Association' The ld. AAC has rightly held that this is an allowable expenditure and no interference is called for. 7. The fourth ground is against the relief granted by the AAC in respect of Rs. 4.370 on account of rebate allowed to customers and cash discounts. On going through the details, we find, the assessee has claimed a total sum of Rs. 4,370 in respect of this item. The assessee has filed details of rebate allowed to the customer above Rs. 10. The rebate above Rs. 10 was allo....