17 August 2009
CAN A PARTNERSHIP FIRM GIVE AND TAKE CASH FROM A COMPANY IN ASE WHERE THE PARTNERS AND DIRECOTRS OF THE FORMER FIRM AND LATTER COMPANY IN THE RELATIVE CASE ARE THE SAME PERSONS
22 August 2009
No, directly the firm & company can not take & give cash. But this can be done when first drawing is made by partners from firm in their own name & given to company. Reversal of this can not be done. Care has to be taken about income tax provisions also.
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