Partner Salary Disallowance Set Aside Pending Factual Verification by ITAT

Dew Drop Properties Vs JCIT (ITAT Mumbai) The Income Tax Appellate Tribunal (ITAT), Mumbai Bench, heard an appeal filed by Dew Drop Properties concerning the disallowance of paid as remuneration to partners under Section 40(b) of the Income-tax Act, 1961, for Assessment Year (AY) 2013-14. The Core Dispute The assessee, a firm engaged in property business and running a resort, initially filed its return showing a total income of . The firm treated the profit on the sale of a shop amounting to as business income. After accounting for the partner salary, the firm reported a positive net profit. T...