Delhi HC Seeks CBDT Clarification on Tax on Partner’s Remuneration

Rajeev Sawhney Vs Assessment Unit (Delhi High Court) The Delhi High Court examined a writ petition filed by a partner of a professional firm challenging the action of the Assessing Officer in adding to his income amounts received as additional remuneration and discretionary performance reward. The petitioner contended that the partnership firm had already paid tax on these amounts, and therefore, taxing them again in the hands of the partner was not justified. It was argued that the Assessing Officer relied on Section 10(2A) Explanation and Section 28(v) of the Income Tax Act, 1961 without con...