Capital asset : section 2(14) of it act, 1961

Are you asking it for thr purpose of cap gain?

CIT V Riaz A Sheikh Bombay HC

In this case the AO held that the retirement had resulted in a relinquishment of his pre-existing rights in the partnership firm and, therefore, the same was in the nature of capital gain on transfer of goodwill and liable to tax under s. 45 read with s. 2(47)(i) & (ii) of the Act. His order was reversed

In Rajnish M Bhandari

ITAT eversed the order AO on the ground that when a partner retires from the firm and receives his share of an amount calculated on the value of the net partnership assets including goodwill of the firm, there is no transfer of interest of the partner in the goodwill, and no part of the amount received is assessable as capital gain u/s 45 of the Act.

CIT v/s. R. Lingamallu Rajkumar 247 ITR 801 SC wherein it has been held that amounts received on retirement by a partner is not subject to capital gains tax

ITS A CAPITAL RECEIPT NOT CHARGEABLE TO TAX

Its a trite law that what the partner gets upon dissolution or retirement is the realization of a pre-existing right or interest which is not assessable to tax.

Further A payment made to a partner on dissolution does not fall u/s 28 (v) either (There are atleast 2 judgements on this)

Yes, i am asking this for the purpose of Capital gain.  So, as per the decisions of the above cases, that Share of a partner will not constitute "Capital Asset" under Section 2(14) of IT Act, 1961 ??
 

But, If that Partner sells his share to an outsider(a company) ? In this situation, a capital gain will attract or not ? or his share will be deemed as a capital asset or not ?