24 August 2013
in case of retirement cum admission of partner, is there new partnership deed required..? and if yes then what to do with old deed. should i have to surrender it or not...?
PL and BS shall be drawn. Profit and Loss shall be distributed as per provision of old Partnership Deed. The account of Retiring Partner will become current account or sundry creditors.
NEW PARTNERSHIP DEED: On the next date a new Partnership Deed shall be written. The partners will be CONTINUING PARTNERS and NEW PARTNER.
Account Books will be started by taking the balances as per Balance Sheet drawn on DISSOLUTION DEED. And again PL & BS shall be drawn on 31st March
For the purpose of Income Tax and/or Service Tax and/or VAT etc. the figures of both the PL and BS.
In order to avoid two PL and BS concept usually and commonly the Partners gets retired on 31st March and New Partner joins on 1st April.
CAclubindia
