Bucks accepted and you will records made in cash-book
For the CIT vs. Roentgen.Yards. Chidambaram Pillai 106 ITR 292(SC),this has been kept you to relationship is a collaborative out-of separate individuals and not a legal member of alone. Thus, truth be told there can not be a binding agreement regarding solution when you look at the strict legislation between a firm plus one of their couples.
The newest conditions out-of Part 269SS of your Act doesn’t drawn just to own transfer from add up to a loan account inside the form of publication entry
Thus, depending on the above concept, some process of law keeps kept that in case away from a collaboration corporation, there isn’t any independent term off companion and firm and you can, ergo, in which a partner got financing within the dollars of organization, discover no ticket off part 269SS to invoke penal provisions out of point 271D. CIT against V. Sivaku] thirty-two taxmann 62 (Madras), CIT vsLokhpat Movie Replace (Cinema) 304 ITR 172 (Raj.), Shrepak People versus DCIT 64 ITD 300 payday loan no credit check Thomasville (Ahd.- Trib.)
Money sum in the bucks off a partner regarding the union business does not appeal arrangements of Part 269SS even when the count is actually returned on the non-recognition away from Regulators for composition of union corporation
An ordinary reading of Point 269SS of Act implies which pertains to an excellent transactionwhere a deposit or financing is actually recognized from the an enthusiastic assessee, or even than simply because of the a free account payeecheque otherwise a free account payee write.