For s. 2(22)(e), a firm can be treated as the ‘shareholder’ even though it is not the registered shareholder and shares are in the name of Partners

CIT Vs M/s National Travel Services (Delhi High Court)- The respondent/assessee is a partnership firm consisting of three partners namely Mr. Naresh Goyal, Mr. Surinder Goyal and M/s Jet Enterprises Pvt. Ltd. having profit sharing ratio of 35%, 15% and 50% respectively. The assessee firm had taken a loan of ` 28,52,41,516/- from M/s Jetair Pvt. Ltd. New Delhi. In this company the assessee has invested by subscribing to the equity share numbering 1,43,980 of ` 100 each which constitute 48.18%. However, the shares were purchased in the name of the two partne

Please become a Premium member. If you are already a Premium member, login here to access the full content.