Many Partnership firms put this clause in their Partnership deed so that they can give salaries to their Partners as per the Income Tax Act. Now with the change by Finance Act 2024, the same is required to be updated.
CBDT Notifies Amendments in Income-tax Rules for Ease in Claiming Credit for TCS Collected/TDS Deducted for Salaried Employees and for claiming TCS Credit of Minors in the Hands of Parents.
✅Rule 37-I of the Income-tax Rules amended to allow credit of tax collected at Source to a person other than the collectee, in whose hands the income of the collectee is assessable.