There are four partners P,Q,R & S in Partnership firm 'Poojara & Co' having equal right. among them S is going to retired and at the time of retirement his share from firm being to Rs.25 lacs which he relinques such right in favour of such partenership firm. Whether such relinquesment is chargable to capital gain tax or not?
Menu
Capital Gain tax at time of Relinquishment of right in firm
Replies (1)
| Originally posted by : parin | ||
 |
There are four partners P,Q,R & S in Partnership firm 'Poojara & Co' having equal right. among them S is going to retired and at the time of retirement his share from firm being to Rs.25 lacs which he relinques such right in favour of such partenership firm. Whether such relinquesment is chargable to capital gain tax or not? |
 |
As per the definition of "Transfer" mentioned in Sec.2 Relinquishment of right amounts to transfer.
Therefore, Capital Gain Tax will be applicable on this.
Recent Threads
- INTRADAY INCOME PRESUMPTIVE INCOME
- Clarification on Deemed Export Status for EOU-to-E
- LTCG Tax on property
- Short term gain in itr2, missing 111A
- Errors in ITR Filing: Minimum One Character Requir
- Which ITR Opt
- Employer Details for NRI
- Section 194C or 194J apply in survey fee to determ
- Accidental Switch to New Regime using Form 10-IEA
- Should I file Revised Return U/S 139 (5)?
Related Threads
CAclubindia
