2004 (12) TMI 46

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....o registration?" The respondent-assessee is a registered firm and the relevant accounting year is the year ended on March 31, 1983. It appears from, the facts recorded by the Tribunal that the assessee-firm was brought into existence on June 2, 1980, wherein apart from three individuals, viz., Shri Hasmukhlal Chinubhai, Shri Bipinchandra Mafatlal and Shri Natwarlal Trikamlal, the other three partners were trustees of private trusts, viz., Shri Upendra Chinubhai, trustee of Hetal Trust, Smt. Smruti Hasmukhbhai, trustee of Bijal Trust and Smt. Shantaben Chinubhai, trustee of Shalin Trust. The said firm was granted registration under section 185 of the Act by order dated February 18, 1984, when the said partnership firm was assessed for the....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....fore the Appellate Assistant Commissioner of Income-tax, AR-III, Ahmedabad, who, for the reasons stated in the order dated June 12, 1985, allowed the appeal and directed the Assessing Officer to allow registration to the assessee-firm. The Revenue challenged the order of the first appellate authority by way of appeal before the Tribunal and the said appeal came to be registered as I.T.A. No. 1827/Ahd/1985. The Tribunal held that the assessee-firm had complied with the statutory requirements prescribed for seeking registration, and the Assessing Officer had not found any fault with the said application. That the ground regarding minor being a member of the associations of persons was not valid in the light of the decision of the apex cour....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....the Income-tax Act. It is specifically provided that: (1) the partnership must be evidenced by an instrument in writing; (2) the individual shares of partners must be specified in that instrument; (3) the application for registration shall be signed by all the partners. The very facts that individual shares of the partners have to be specified and that such partners must personally sign the partnership deed and also the application for registration, go to show that even if a person joins a firm as a representative of a Hindu undivided family or any other body or association, within the firm his position is that of an individual. He may have an agreement with a third party to divide the profits received from the firm, but that ag....