30 October 2011
Mr. A and Mr. B are partners in M/s AB & Co.
Mr. A sold his share to Mr. C for Rs. 10 lacs on 31-03-2011. The partners capital as per audited balance sheet as on 31-03-2011 was Rs. 5 lacs and Rs.4 lacs of both the partners.
Would there be any income tax liability to Mr. A towards profit on sale of his share?
CAclubindia
