COMMISSIONER OF INCOME TAX Vs. BALASUBRAMANIAM M

JUDGEMENT

(1.) THESE are two references at the instance of the Commissioner of Income-tax, Tamil Nadu, Madras, T.C. No. 170 of 1975 is made under Section 256(1) of the I.T. Act, 1961, referring the following questions:

(2.) T.C. No. 171 of 1975 is a reference under Section 27(1) of the W.T. Act, 1957, The following question is referred in it :

(3.) IN the present appeal, the learned counsel for the revenue contended that the income could be assessed only in the hands of the individual, as there was no family in existence and that the present case was governed by the decision of the Privy Council in Kalyanji Vithaldas v. CIT, 1973 5 ITR 90. For the assessee, the contention was that in the present reference the only question was whether the individual, Balasubramaniam, could be assessed with reference to the assets that accrued out of the sum of Rs. 10,100 gifted, subject to the condition of their having a joint family character. It was pointed out that having regard to the terms of the gift, neither the income nor the assets could be assessed in the hands of the assessee as an individual.