TaxTMI 
TaxTMI 
1983 (6) TMI 62
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....h Raj, Brij Bhusan and Brij Lal. With effect from 1st April, 1977, two more new partners Naveen Kumar and Dhan Raj were taken and deed was executed on 7th April, 1977. The assessee's business was that of purchase and sale of gold and making of gold ornaments and the said business could only be done by obtaining licence under the Gold Control Act, 1968. One of the partners Shri Meghraj died on 4th March, 1978 and in order to restart the firm, the licence was applied for under the Gold Control Act, 1968 and the statutory approval was received on 1st April, 1978, thereupon a new partnership was formed. As per the partnership deed dt.7th April, 1977, which was effective from 1st April, 1977, there was no stipulation in the deed that partnership....
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....icence having been granted w.e.f. 1st April, 1978 and subsequent deed having been executed thereafter, the registration in the instant case could not be refused on the strength of (1977) 109 ITR 92 (P&H). 5. While disputing this action of the AAC, the ld. Departmental representative submitted besides relying on the order of the ITO that after the death there is no dissolution and he relied on the Punjab & Haryana High Court judgement in the case of nandlal Sohan Lal vs. CIT 1978 CTR (P&H) 5 (FB) : (1977) 110 ITR 170 (P&H) besides (1977) 109 ITR 92 (P&H) supra. He vehemently argued that there is no change in the entity and this being a case of reconstitution one assessment should have been framed and since there has been no partnership dee....
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.... 138 ITR 833 (P&H) is against the assessee on the issue. 7. After taking into consideration the rival submissions, we are unable to interfere in the finding of the AAC regarding registration to the assessee u/s 185(1)(b). There is no dispute about the fact that assessee has been dealing in gold ornaments and for that trade it was obliged to obtain a licence as per s. 52 of the Gold Control Act, 1968 which reads as under: "Licence to a firm to be invalid if there is any change in the partnership of a firm. Where any firm has been licensed under this Act to carry on business as a dealer or refiner, such licence shall, notwithstanding anything contained in this Act, become invalid and from the date on which there is a change in the partner....