#dissolution of partnership

The Bombay High Court has ruled that when a partnership is 'at will', the original liquor license holder may remove a partner from the license by serving notice under Section 43 of the Partnership Act, without needing to first resolve the dispute in civil court. This clarifies that excise authorities must recognize such dissolution for license purposes, empowering licensees to restructure partnerships administratively - a critical precedent for family-run liquor businesses in Maharashtra.

The ITAT Agra holds that a reassessment notice under Section 148 issued against a partnership firm that has been legally dissolved is void ab initio, as the entity no longer exists to be assessed. This ruling protects successors and former partners from post-dissolution tax liability based on non-existent legal persons, reinforcing that tax jurisdiction requires a living legal entity.