JAIN AND CO Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THE Income-tax Appellate Tribunal, Gauhati Bench, Gauhati (hereinafter called "the Tribunal"), has referred the following question to us for opinion :

(2.) THE assessee-firm, Jain & Co., Fancy Bazar, Gauhati, was constituted on February, 1964, on which date a partnership deed (annexure C) was executed. THE deed of the partnership showed that the firm consisted of the following five partners :

(3.) S. L. Sarma, learned counsel appearing for the assessee, submits that the application under section 185 of the Act was accompanied by the partnership deed dated February 1, 1964, and the memorandum of agreement dated April 7, 1965; these two documents read together evidence the constitution of the firm. On mere retirement of one of the partners, a partnership firm is not dissolved; it continues and it has been continuing in the instance case with the remaining four partners. Alternatively, he also faintly submits that the memorandum by itself is the instrument of the partnership.