Section Text
In section 155 of the Income-tax Act, with effect from the 1st day of April, 1993, -
(a) In sub-section (1), in the opening paragraph, for the words "Where in respect of any completed assessment of a partner in a firm", the words, figures and letter "Where, in respect of any completed assessment of a partner in a firm for the assessment year commencing on the 1st day of April, 1992, or any earlier assessment year", shall be substituted;
(b) after sub-section (1), the following sub-section shall be inserted, namely :-
"(1A) Where in respect of any completed assessment of a firm it is found -
(a) on the assessment or reassessment of the firm, or
(b) on any reduction or enhancement made in the income of the firm under this section, section 154, section 250, section 254, section 260, section 262, section 263 or section 264, or
(c) on any order passed under sub-section (4) of section 245D on the application made by the firm, that any remuneration to any partner is not deductible under clause (b) of section 40, the Assessing Officer may amend the order of assessment of the partner with a view to adjusting the income of the partner to the extent of the amount not so deductible; and the provisions of section 154 shall, so far as may be, apply thereto, the period of four years specified in sub-section (7) of that section being reckoned from the end of the financial year in which the final order was passed in the case of the firm."