2013 (10) TMI 1231

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....ncome Tax Appellate Tribunal. 2. Appellant, a partnership firm, involved in the business of pharmaceutical distribution, filed these two appeals. According to appellant firm, long back the firm came to be established. During the course of its business new partners were introduced and all partners, one after the other, retired from the partnership firm in the successive years commencing from the a....

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.... the Income Tax Act it is an independent and separate assessable unit. Facts in the present case are to the effect that initially four partners constituted the partnership firm in the business of pharmaceuticals and continued so. Later, three partners entered and the partnership consisted of seven partners. Subsequently, in four consecutive assessment years earlier four partners one by one retired....

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....d not a partnership. Similarly, the entity came to be transferred to new proprietary without retaining the same name of the old proprietary concern, i.e., the hospital. Apart from the said fact, one has to see difference in the facts of the present case. We are not concerned with the partnership firm where there is no transfer of interest in the partnership firm entirely to the new partners at a t....

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....ital investment and retire from partnership and the others continue to carry on the business. By adopting this method, four partners, who decided to go out of the business, have not transferred the entire business concern to the new partners, but have chosen to continue for some time and at their leisure, they retired from partnership one after the other. Therefore, the assets and liabilities of t....