Regarding partnership deed

This query is : Resolved

m.faruk yusuf patel (Querist)
Follow

03 February 2013 Respected sir, My client started business from 1st April,2012 under partnership. No Agrreement for partnership prepared or no deed prepared untill now. so kindly tell me whether Partnership Agreement or deed can be prepared after starting business. and also tell me about which amount of stamp paper required for partnership agreement? what is diffrent between deed and agreements?

Ajay Mishra

Ajay Mishra (Expert)
Follow

03 February 2013 Hi

A Partnership is constructed by an agreement between the partners. The agreement may be in writing or oral. But from the practical point of view and particularly in view of the provisions of other Acts such as the Income Tax as well as Partnership Act an oral Partnership is not practicable, and therefore, a Partnership agreement is necessarily required to be in writing. Therefore, the mere fact that two persons as joint owners either as heirs or legatees are carrying on a business does not necessarily mean that they are partners and it they want to carry on the business in Partnership, then a Partnership agreement in writing becomes necessary.

Agreement and deed term used as same both defined charter of the agreement.

Ajay Mishra

Ajay Mishra (Expert)
Follow

03 February 2013 All the partners are entitled and liable for equal share in profit and loss in absence of any agreement {Mandyala Govindu vs. CIT AIR 1975 SC 2284}.

PROPERTY OF THE FIRM

The property of a Partnership firm will consist of all the assets, movable and immovable brought in by any or all the partners into the firm and also include the goodwill. Section 15 says that subject to the contract between the partners, the property of the firm shall be held and used by the partners exclusively for the purpose of business.
Partner cannot transferany part of the property of firm till the continuation of partnership {Addanki Narayanappa vs Bhaskara Krishnappa AIR 1966 SC 1300}.
It may be stated that relaying upon the specific provision of Section 22 of the English Partnership Act, 1890, the Supreme Court has held that all the property of a Partnership firm, whether, movable or immovable is movable property, and therefore, on retirement of any partner or dissolution Partnership the division of even immovable property among the partners does not amount to transfer of property and the deed of retirement or dissolution does not require registration.

m.faruk yusuf patel

m.faruk yusuf patel (Querist)
Follow

07 February 2013 kindly tell me regarding purchasing a stamp paper. at what amount i should purchase?

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

K.Govindarajan

Prakash J C

Sharang Sanjay Mangalekar

ATUL MAKWANA

Leena

Subscribe Now

Regarding partnership deed

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

GST CONSULTANCY

Accountant

Manager- Finance and Compliance

Senior Executive

CA Final

GST CONSULTANT