COMMISSIONER OF INCOME TAX Vs. BALUBHAI NANUBHAI HUF

JUDGEMENT

(1.) AT the instance of CIT, Surat, the Tribunal, Ahmedabad 'B' Bench had referred the following question of law arising out of its appellate order dt. 20th April, 1982 in ITA No. 337/Ahd/81 for the asst. year 1974 75 :

(2.) WE have heard the learned counsel for the Revenue. No one has appeared for the assessee in spite of service.

(3.) THE facts which have been noticed by the CIT(A) and not in dispute, are that the property originally belonged to one Bhagabhai who died leaving behind three sons Nanubhai, Chunilal and Jinabhai. Chunilal died and his share in the property devolved by survivorship on Nanubhai and Jinabhai. Nanubhai died on 21st March, 1957, after Hindu Succession Act, 1956 came into force, leaving behind his three sons, widow Maniben and four daughters. After the death of Nanubhai, the partition of the entire property under the status of bigger HUF of Bhagbhai took place on 30th Sept., 1962 and the property was divided in two parts, one going to the line of Nanubhai and another to the line of Jinabhai. Thereafter there was no partition of the property amongst the members of HUF of which Nanubhai was Karta. Before the transfer of property in question daughters were given a fixed sum of money settling their claim to inheritance to share of Nanubhai in HUF properties.