Section 45(3) applies to capital asset transferred to firm by way of capital contribution

Nareshbhai Ishwardas Patel Vs I.T.O (ITAT Ahmedabad) ITAT Ahmedabad held that the provision of section 50C of Act cannot be made applicable to transaction of capital assets transferred by assessee to a partnership firm by way capital contribution. Such transaction falls under the provision of section 45(3) of the Income Tax Act. Facts- The assessee in the present is an individual and engaged in the proprietary business of processing of plastic raw materials into articles under the name and style of “M/s Gokul Plastic”. The assessee is also a partner in the firm namely “M/s Pooja Buicon�...