AJIT G SARAFF Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THIS is a reference under section 256(1) of the Income-tax Act, 1961, in respect of the assessment year 1982-83. The three questions referred read as follows :

(2.) ALL the three questions basically involve the same question.

(3.) THE assessee relied on the decision of the Gujarat High Court reported in CIT v. Dr. Babubhai Mansukhbhai , in the said decision, it was held that where a son inherits the self-acquired property of his father, the son takes it as the joint family property of himself and his son and not as his separate property. THE view of the Allahabad High Court in CIT v. Ram Rakshpal, Ashok Kumar [1968] 67 ITR 164 was dissented from. This view of the Gujarat High Court certainly is no longer good law in view of the decision of the Supreme Court in the aforesaid Chander Sen's case . THE Supreme Court has clearly laid down that the property inherited by a son which hitherto belonged to his father as his self-acquired property, again would be self-acquired property of the son.