Small service provider - exemption


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Querist : Anonymous

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Querist : Anonymous (Querist)
04 November 2014 Dear Sir,
Kindly consider the following example:

Mr. X is a partner in a XY & Co., a partnership firm, engaged in service of clearing & forwarding Agency. (Mr. X and Mr. Y who are brothers and both are partners in XY & Co.,)
Also, Mr. X running proprietory firm in his name and engaged in service of Manpower Consultancy.

Query:
1. Mr. X wants to claim small service provider exemption for his proprietory firm, since his service income is below Rs. 10 lakhs. Whether he is eligible?
2. If yes, Whether clubbing of partnership service income should be consider? Since, he and his brother is partner (Family Relationship).

04 November 2014 No. The clubbing should not be done. Both are separate entities.


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