Hi!
A person has proprietorship business & have income from such business.
Apart from that the proprietor is also partner in a partnership Firm & receive its share of profit & interest & have share of income tax on behalf of the firm
Share of profit received from Partnership Firm is exempted. No issue as such
Querry 1) Interest Recvd from Partnership firm should be shown under which head ie. which will be the appropriate head ie either "income from BP" or "income from other sources"
Querry 2) Income Tax on behalf of the firm paid by the partner; Whether it should be deducted from capital of the partner. Is it right practice or any other way to treat the same.
Kindly enlighhten the issue
Rgrds
CAclubindia
