Registration of firms:-
(1) Any firm which is constituted by an instrument of partnership executed in writing and fulfils the requirement of registration under this section may be registered for the purposes of this Ordinance on an application made in this behalf to the Deputy Commissioner of Taxes.
(2) An applicable under sub-section (1) for registration shall be:-
(i) made in respect of an assessment year;
(ii) accompanied by a copy of an instrument of partnership executed in writing before the end of the income year relevant to the assessment year for which registration is sought;
(iii) made by such person or persons, in such form, containing such particulars, accompanied by such documents and verified in such manner as may be prescribed;
and it shall be dealt with the Deputy Commissioner of Taxes in such manner as may be prescribed.
(3) No application under sub-section (1) in respect of a firm shall be accepted unless the instrument constituting the firm,-
(a) sets out the names and addresses of the partners;
(b) specifies among other things ,the shares of each of the partners; and
(c) has been registered under the Partnership Act,1932 (IX of 1932)
(4) Upon receiving an application under sub-section (1), the Deputy Commissioner of Taxes may call for such documents, information or evidence and make such enquiries as he may consider necessary to ascertain that the firm in respect of which the application has been made is a genuine firm in existence.
(5) If after examining the application and other documents and making enquiries, if any, the Deputy Commissioner of Taxes is satisfied that the application complies with the requirements of this section and that the firm is a genuine firm in existence constituted as shown in the instrument of partnership executed in writing and in force in the relevant income year, he shall register the firm for the assessment year for which the application has been made within thirty days from the date of receipt by him of the application on within thirty days from the is the later, failing which the firm shall be deemed to have b--een registered for the purpose of this section.
(6) Where registration is granted to any firm for any assessment year, it shall have effect also for every subsequent assessment year, subject to the condition that,
(i) if there is no change in the constitution of the firm or shares of the partners as evidenced by the instrument of partnership on the basis of which the registration was granted, a declaration to that effect is furnished in the prescribed form, verified in the prescribed manner and within the prescribed time; and
(ii) If there is any change in the constitution of the firm or allocation of shares of the partners, the change is communicated to the Deputy Commissioner of Taxes in the prescribed form verified in the prescribed manner within the prescribed time.
1[(7) Where any such change has taken place in the income year, the firm shall apply for fresh registration for the assessment year concerned in accordance with the provisions of this section.]
(8) If, at any time after a firm has been registered for any assessment year, the Deputy Commissioner of Taxes has reason to believe that-
(a) there was not genuine firm in existence in the income year relevant to the said assessment year constituted as shown in the instrument of partnership; or
(b) the requirements of sub-sections (2) and (3) had not been fulfilled in respect of the said income year,
he may cancel the registration after giving the firm or the persons who were shown to be its partners an opportunity of being heard.]
1 Omitted by F.A. 1995
2 Omitted by F.A. 1993