INCOME TAX OFFICER Vs. SARADA THAMPATTY N K

JUDGEMENT

(1.) THIS is an appeal by the Income-tax Officer, Assessment V, Calicut, against the judgment of Isaac J., allowing O.P. No. 4083 of 1970, quashing the assessment orders, exhibits P-2, P-3 and P-4, by which the respondent in this appeal was assessed as head of a tavazhi of a Hindu undivided family in relation to the alleged income of that Hindu undivided family for the assessment years 1967-68, 1968-69 and 1969-70.

(2.) THE question that arises for decision in this appeal is whether an assessment of a Hindu undivided family as such which in reality had received no income at all during a particular accounting period is permissible in view of the legal fiction created by Section 171(1) of the Income-tax Act, 1961, for short, "the Act".

(3.) SECTION 171 of the Act is in these terms :