Suitable anwser with reference to recent cases ?

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

29 June 2013 In determining the period of holding of a capital asset received by a partner on
dissolution of firm, can the period of holding of the capital asset by the firm be
taken into account?

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
Follow

29 June 2013 Once the asset has been transferred to the partner on dissolution you must be knowing that it is treated as a transfer and capital gains tax is payable by the firm, if there be any. This is not Section 49(1) case.

.
After that capital asset becomes the asset of the partner. Firm's holding period will not be taken into account when the partner transfers such asset as the matter of firm's holding period has already come to an end.
.

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