TMI Blog1982 (1) TMI 55X X X X Extracts X X X X X X X X Extracts X X X X ..... date fell within the assessment year 1969-70, because the accounting period for this year ended on October 21, 1968. Even though the minor had become a major, no fresh deed of partnership had been drawn up by the parties till the end of the assessment year 1969-70. He was of the opinion that, in these circumstances, the firm should not have been granted renewal of registration. He commenced proceedings under s. 263 of the I.T. Act, 1961, and after hearing the assessee cancelled the assessment order and directed the ITO to pass fresh assessment order on the firm treating it to be an unregistered firm. Aggrieved against that order, the assessee went up in appeal to the Tribunal but failed. At the instance of the assessee, the Tribunal has ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the firm. The Commissioner observed: " Proper course for the assessee-firm was to file an application for registration accompanied by an instrument of partnership evidencing it. It was not correct for the assessee-firm to file a declaration under section 184(7). The Income-tax Officer was wrong in granting renewal of registration. The assessment order of the Income-tax Officer for the assessment year 1969-70 treating the firm as a registered firm is thus erroneous and is also prejudicial to the revenue. This order is, therefore, cancelled with direction to the Income-tax Officer to make a fresh assessment taking the status of the assessee as an unregistered firm. " We have no hesitation in holding that the Addl. Commissioner cancelled ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tters cannot be ascertained, it will be a case where the instrument of partnership does not evidence the change in the shares. In case the original instrument of partnership envisages this change, the firm will be entitled to a continuance of the registration under s. 184(7) of the Act. It is, therefore, necessary to see the original instrument of partnership with a view to find out whether it makes an adequate provision for the share in loss as mentioned above. It is not necessary that in case the relevant information is available in the original instrument of partnership, none the less a fresh instrument of partnership must be drawn up. The matter hence cannot be decided merely on the footing that a fresh deed of partnership was not e ..... X X X X Extracts X X X X X X X X Extracts X X X X
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