Article 42 - Change of Partners in a Partnership
Chapter 8 - Taxation Rules of Partnerships
Article 42 - Change of Partners in a Partnership
If a partner or partners enter into or retire from a partnership which results in its reconstitution, all its assets shall be considered transferred to the new partnership against shares in this partnership.
Reconstitution of a partnership occurs when the entry or retirement of a partner or partners results in a change in the partnership's membership exceeding 50% of its formation in the year preceding the change.