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2011 (7) TMI 288 - HC - Income TaxDeemed dividend - Partnership firm - purchase of shares in the name of partners - It was argued that only that beneficial owner whose name is entered as beneficial owner in the records of the depository, would be deemed to be a member of the concerned company - Held that:- since the partnership firm is the beneficial owner and it has to per force purchase the shares in the name of the partners, it is very easy for a person like him to ensure that only the names of partners in whose name shares are purchased is entered in the records of the company and the names of all the partners are not recorded so that provisions of Section 187C of the Companies Act are not fulfilled - for the purpose of Section 2(22)(e) of the Act, partnership firm is to be treated as the shareholder and it is not necessary that is has to be "registered shareholder". - Decided against the assessee
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