partner ship renumeration

This query is : Resolved

SRIDHAR BABU.S (Querist)
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21 April 2009 Dear Sir/Madam,
Please clarify me - what is the maximum renumeration amount the partners can draw from a partnership firm?
Advance thks,
kind regards,
S.Babu.

Jitender

Jitender (Expert)
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21 April 2009 there is no limit to it.
However, conditions has been prescibed in sec184 of income tax act.

CA.Tarun Maheshwari

CA.Tarun Maheshwari (Expert)
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21 April 2009 The partners can decide to take any amount of remuneration from the business, but the same should be according to the partnership deed, and its allowability in Income Tax Act shall be according to section 40(b) read with section 184. Detailed provision and calculation is given in section 40(b)

SANJAY VERMA

SANJAY VERMA (Expert)
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21 April 2009 agree with Tarun

Taranjit Singh

Taranjit Singh (Expert)
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22 April 2009 Hello dear the topic you asked is long. So you can read it in detail on the following link.

http://simpletaxindia.blogspot.com/2009/03/book-profit-salary-to-partners.html

If you still have any query, then plz send me a PM.

Ca. Rajesh Dhama

Ca. Rajesh Dhama (Expert)
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22 April 2009 no limit has provided for remuneration.
butaccording to IT act remuneration can only be provided to working partner if part deed so proved.