1977 (8) TMI 84

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....Rs. 35,140. Shri Alisher and Shri Bhanwar Singh took excise contract of deshi liquor for Bhadra for the period 1st May, 1972 to 31st March, 1973. Shri Alisher had no finances and as such he entered into sub-partnership agreement with Shaffi Mohd., contractor. According to the agreement Shaffi Mohd. was to provide necessary finance for and on behalf of Shri Alisher. In consideration of his doing so....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....the assessee observed as under "Apparently, when the income of the original firm has been taxed, the share will be taxed in the hands of the partner and not again the hands of the sub-partnership. Taxing the share from the original firm in the hands of the sub-partnership, it will be double taxation. Accordingly, the tax levied on this sub-partnership firm is not justified. The ITO can only tax....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... of the learned AAC. 7. I have heard the parties and perused the material available on record. Sri Alisher and Sri Bhanwar Singh entered into partnership. They took contract of liquor. After the completion of the contract, the assessment of the main firm was completed. The share income of both the partners were determined and the firm paid tax as required under the Act. Sri Alisher was not fina....