Amount received by retired partner from partnership firm cannot be claimed as exempt U/s. 10(2A)

Rahas Investment (P) Ltd. Vs DCIT & Vice-Versa (ITAT Mumbai) Conclusion: Amount received by a retired partner from its erstwhile partnership firm could not be claimed as exempt under section 10(2A) as the reading of section makes it clear that it makes profit of a firm assessed as such exempt in the hands of its partners and assessee was not at all partner in the said firm. Held: AO denied exemption u/s.10 (2A) to assessee-company on the amount credited in its profit and loss account being share of surplus on the revaluation of assets of a partnership firm from which it had retired earlie...