Question

if there is net loss in partners ship form if business and there is interest on capital and payable to paryners . one of the partner has given his primises on rent to the the firm . what will be the trratment in that above cases​

Answer 1

Answer:

In case of loss interest on capital is not allowed

but if partner decided that interest on capital will be treated as charge then in case of loss interest on capital is allowed.

Rent is treated as charge then in case of loss rent is allowed to the partner