M.R.SHARMA, J.

1. A copy of the partnership deed dated May 16, 1964, Annexure- A shows that the assessee-firm had the following partners with their respective shares denoted against their names:-

Nandlal party of first part 7/40

Sohanlal party of second part 7/40

Mukandlal party of third part 7/40

Hardial party of fourth part 7/40

Ramlal party of fifth part 5/40

Harbanslal party of sixth part 7/40

2 On Oct. 20, 1967, Shri Mukand Lal one of the partners died. A new partnership deed dated Oct. 26, 1967, was executed whereby Rajinder Kumar, the minor son of the deceased partner Sh. Mukand Lal, was admitted to the benefits of the partnership with effect from Oct. 21, 1967. The assessee-firm filed two returns for the period April 13, 1967 to Oct. 20, 1967, and Oct. 21, 1967, to April 12, 1968. In the new partnership deed, it has been specifically provided that the death of any of the partners shall not dissolve the partnership and either the legal heir or the nominee of the deceased partner shall take his place. However, there was no such stipulation in the original partnership deed.

3. The Income Tax Officer relying upon S. 187 (2) of the Income Tax Act, 1961 (hereinafter calle