{"id":59623,"date":"2026-04-17T12:26:48","date_gmt":"2026-04-17T06:56:48","guid":{"rendered":"https:\/\/itatonline.org\/digest\/s-pushpa-v-pcit-2025-306-taxman-197-mad-hc\/"},"modified":"2026-04-17T12:26:48","modified_gmt":"2026-04-17T06:56:48","slug":"s-pushpa-v-pcit-2025-306-taxman-197-mad-hc","status":"publish","type":"post","link":"https:\/\/itatonline.org\/digest\/s-pushpa-v-pcit-2025-306-taxman-197-mad-hc\/","title":{"rendered":"S.Pushpa v. PCIT (2025) 306 Taxman 197 (Mad.) (HC)"},"content":{"rendered":"<p>During the period in which the tax liability arose, disputes existed among the partners of the firm. One of the partners contended that he was a\u00a0<strong>sleeping partner<\/strong>\u00a0and had been\u00a0<strong>excluded from the affairs of the partnership<\/strong><strong>, <\/strong>allegedly taking advantage of his advanced age. It was also contended that the partnership firm had subsequently been\u00a0<strong>dissolved pursuant to a judgment and decree of the Court<\/strong><strong>;<\/strong> accordingly, it was not liable for the taxes. The Court held that, notwithstanding internal disputes among partners or the dissolution of the firm,\u00a0<strong>all partners remain jointly and severally liable<\/strong><strong>\u00a0<\/strong>under<strong>\u00a0<\/strong><strong>section 188A<\/strong>\u00a0for the tax liabilities incurred by the partnership firm during the relevant period. The plea that the partner was a sleeping partner or was not actively involved in the business was held to be\u00a0<strong>i<\/strong><strong>rrelevant<\/strong>\u00a0for the purpose of statutory liability. However, having regard to the\u00a0<strong>peculiar facts of the case<\/strong>, including the<strong>\u00a0<\/strong><strong>advanced age of the partner<\/strong><strong>, <\/strong>the Court directed that the\u00a0<strong>impugned demand order shall remain stayed<\/strong><strong>\u00a0<\/strong>insofar as it related to the said partner, for a period of\u00a0<strong>two months<\/strong><strong>.<\/strong> (AY.\u00a0 2017-18)<\/p>\n","protected":false},"excerpt":{"rendered":"<p>S. 188A: Firm-Joint and Several Liability of Partners-Dissolution of firm-Liability of sleeping partner-Liable to tax liability incurred by the firm. [Art. 226] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-59623","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-fvF","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/59623","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=59623"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/59623\/revisions"}],"predecessor-version":[{"id":59624,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/59623\/revisions\/59624"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=59623"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=59623"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=59623"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}