Partnership property on rent
Manik Handa
(Querist) 09 December 2011
This query is : Resolved
Dear Experts,
I want to know is it possible that a property in name of a Partnership Firm(constituting 2 Partners) can be rented out and the total rent can be received in the name of one partner only/individually If the second partner gives a consent or NOC on the same in writing ? And if yes is it possible that the same rent agreement is registered in court in favor of that single partner only ?
Please clarify
Regards
Devajyoti Barman
(Expert) 10 December 2011
The rent is to be issued in the name of the Firm though any of the partners can receive the rent even without any NOC.
Raj Kumar Makkad
(Expert) 10 December 2011
If both partners are consenting to any decision, non has any grouse against them. The firs belongs to both the partners and they have to see what their action harms to the firm and which of them shall benefit it so they are free to take any decision with mutual consent including the given matter.
Sailesh Kumar Shah
(Expert) 12 December 2011
No, Not advisable to do such.there could be problem in IT . or tax burden on firm, whereas income enjoys, single partner.
