Taxation of conversion of partership firm to propertiership

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

24 June 2017 please explain the taxation regarding in the hand of partnership firm and proprietorship firm like capital gain etc.

Amol S Joglekar

Amol S Joglekar (Expert)
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24 June 2017 partnership is converted to proprietorship....it means partners except the one who continues the business retires from the firm. The firm is closed down. The distribution of assets, if any at the time of dissolution of the firm shall be charges to tax as per section 45 of income tax act