1982 (6) TMI 1

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....references which arise in respect of the assessment years 1973-74 and 1974-75, we are called upon to answer the following question : " Whether, on the facts and in the circumstances of the case, the Appellate Tribunal was justified in holding that the assessee is not entitled to depreciation in respect of the assets shown in the books of account of the partnership as the assets of the partnersh....

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....nto the business of the firm by the assessee would continue to be the exclusive property of the assessee and the other partner will have no manner of right over the same by reason of his becoming a partner of the firm. But, in the books of account of the partnership, all the assets and liabilities of the assessee in the business he was running were brought in as assets and liabilities of the firm.....

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....the firm and, therefore, declined to give the benefit of depreciation in his assessment. The Appellate Assistant Commissioner, considering the terms of the partnership deed, upheld the assessee's claim. According to him, if the firm prepared a balance-sheet taking the assets as those of the firm, that did not alter the correct legal position and, therefore, the assets continued to be those of the ....

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....n perpetrated for a number of years and no attempt had been made to reverse the entries. Finally, it found that, on the finding that the assets were partnership property, the assessee was not entitled to depreciation. The question referred to us does not concern the finding that the firm and not the assessee is the owner of the assets. It is concerned only with the question whether the assessee....