Partnership Firm

1) Your firm is in in professional catagory, because specified profession covers Information Technology as well as per your post you are in the business of software development & software devlopment coverd under Informatin tech.

2) Remuneration as per section 40(b) on Income Tax Act,1961 :-

A) On first Rs 100000 of book pofit or in case of  loss- Rs 50000 or 90% of book profit

B)On next Rs 100000 of book pofit - 60% of book profit

c)On balance book pofit - 40% of book profit.

Note : Remuneration can only be provided if it is authorised by Partnership deed, if partnership deed provide lesser amount of remunertion then that amount is deducatble, if not then subject to section 40(b).

3)As per Section 40(b) of income tax Act,1961, Yes partner can claim intrest on capital @ 12% simple intrest but only if mention in partnership deed if partneship deed provide any other rate then it should be followed but cannot exceed the rate given under section 40(b).

Clearification of point no 2 of earlier reply.

Amendment made by finance act,2009

The Act has made upward revisionof existing limits of the remuneration. Further, uniform limits have been prescribed for both professional and non professional firms fro simplicity and admin. ease . the revise limits are as under:

On first Rs 300000 of book pofit or in case of  loss- Rs 150000 or 90% of book profit, which ever is more

On balance of book pofit - 60% of book profit.