1984 (4) TMI 12

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....hands of the Hindu undivided family, even though the assessee is represented in the firm as the karta of his Hindu undivided family ? " After hearing the counsel on both sides at some length and after going through the order of the Tribunal, we do not think that any referable question arises out of the order of the Tribunal. The assessee is the karta of a Hindu undivided family and in that capacity, he was a partner in partnership firm by name Messrs. K. V. Somasundaram & Company. The share income from the firm was assessed in the hands of the assessee as the karta of the Hindu undivided family. For the assessment year 1978-79, the assessee while filing the return of income of the Hindu undivided family with reference to the share income....

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....T. S. Venugopal and (3) T. S. Dhananjayan. The deed of partnership provided that K. V. Somasundaram should function as managing partner and for acting as such managing partner, he was to be paid a sum of Rs. 1,000 per month as salary. The other partner, Venugopal, has been entrusted with the day to day management of the firm's business under the partnership deed and he was also to be paid a sum of Rs. 1,000 per month for his services. There is no provision in the partnership deed for payment of any amount either as salary or remuneration to the third partner, T. S. Dhananjayan, and he has to receive only the share income due to him as per the clauses in the partnership deed. Thus, out of the three partners, one partner is designated as mana....

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....on the basis that the assessee as the managing partner of the firm has to render certain services and it is for those services a sum of Rs. 1,000 per month had been paid and the Tribunal has not referred to the nature of the services actually rendered by the assessee. However, it is significant to note that out of the three partners, the first partner, namely, the assessee, has been designated as the managing partner and a sum of Rs. 1,000 per month has been fixed under the partnership deed itself as the remuneration for functioning as the managing partner. The second partner who has been entrusted with the management of the day to day business of the firm has also been given a sum of Rs. 1,000 per month as remuneration for his services. Th....