Text
The text below is the section as served by the CBIC tax information portal on 17 September 2026, with the portal's own amendment footnote markers (shown as small numerals before a bracket) and its footnotes.[1] The Act as published in the Gazette of India is the legal source.
Section 94, verbatim (show)
*Section 94. Liability in other cases.-
(1) Where a taxable person is a firm or an association of persons or a Hindu Undivided Family and such firm, association or family has discontinued business-
(a) the tax, interest or penalty payable under this Act by such firm, association or family up to the date of such discontinuance may be determined as if no such discontinuance had taken place; and (b) every person who, at the time of such discontinuance, was a partner of such firm, or a member of such association or family, shall, notwithstanding such discontinuance, jointly and severally, be liable for the payment of tax and interest determined and penalty imposed and payable by such firm, association or family, whether such tax and interest has been determined or penalty imposed prior to or after such discontinuance and subject as aforesaid, the provisions of this Act shall, so far as may be, apply as if every such person or partner or member were himself a taxable person.
(2) Where a change has occurred in the constitution of a firm or an association of persons, the partners of the firm or members of association, as it existed before and as it exists after the reconstitution, shall, without prejudice to the provisions of section 90, jointly and severally, be liable to pay tax, interest or penalty due from such firm or association for any period before its reconstitution.
(3) The provisions of sub-section (1) shall, so far as may be, apply where the taxable person, being a firm or association of persons is dissolved or where the taxable person, being a Hindu Undivided Family, has effected partition with respect to the business carried on by it and accordingly references in that sub-section to discontinuance shall be construed as reference to dissolution or to partition.
Explanation.-For the purposes of this Chapter,-
(i) a "Limited Liability Partnership" formed and registered under the provisions of the Limited Liability Partnership Act, 2008 (6 of 2009) shall also be considered as a firm;
(ii) "court" means the District Court, High Court or Supreme Court.
*Enforced w.e.f. 1st July, 2017.
Questions to answer on the file
Questions a reviewer answers from the engagement file, grouped by the part of the section they come from. They describe what the section asks; they do not decide it.
Scope the section as a whole
Questions to answer on the file2 questions
Determination of the dues up to the discontinuance 94(1)(a)
Questions to answer on the file6 questions
The liability of the partners and members 94(1)(b)
Questions to answer on the file4 questions
Change in the constitution of a firm or association 94(2)
Questions to answer on the file5 questions
Dissolution and partition 94(3)
Questions to answer on the file4 questions
A Limited Liability Partnership as a firm Explanation (i)
Questions to answer on the file1 question
What "court" means Explanation (ii)
Questions to answer on the file2 questions
Amendment history
The CBIC text carries 1 footnote. The table gives each in the source's own terms. Effective dates are as the footnotes state them.[1]
| Note | Change | Instrument | Effective from |
|---|---|---|---|
| none | The source carries no numbered amendment footnote for this section. The only note is the enforcement note, which brings the section into force. | — | w.e.f. 1st July, 2017 |
Relationship with other provisions
| Provision | Connection | Words that tie them |
|---|---|---|
| Section 90 | 94(2) requires Section 90 | 94(2) "without prejudice to the provisions of section 90" |
Circulars and notifications
No circular or notification in the CBIC repository is recorded as citing this section.
Unsettled questions
The words of section 94 do not answer this question. Where one decides a matter on the file, the answer depends on the position taken on it.
- Sub-section (1)(b) applies the provisions of this Act to a former partner or member "so far as may be", as if he were himself a taxable person. Which provisions apply to him in that character, and which cannot, is nowhere stated.
See also
- Section 90 of the CGST Act, 2017: liability of partners of firm to pay tax
- Section 93 of the CGST Act, 2017: special provisions regarding liability to pay tax, interest or penalty in certain cases
References
- Central Board of Indirect Taxes and Customs. "Section 94. Liability in other cases". Central Goods and Services Tax Act, 2017, CBIC tax information portal, with amendment footnotes 1 to 1. Retrieved 17 September 2026.
External links
- CGST Act, 2017, Section 94 on the CBIC tax information portal