GIRDHARI LAL DECD Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) These six connected income-tax appeals have been filed under Section 260A of the Income-tax Act, 1961, by which the appellant has challenged the judgment, dated February 27, 2004 of the Income-tax Appellate Tribunal, New Delhi. All these appeals have been decided by the impugned common judgment. Since they involve identical questions of law hence they are being decided by this common judgment.

(2.) We have heard Shri R.R. Agrawal, learned counsel for the appellant, and learned counsel for the Department.

(3.) The facts of the case are that on March 14, 1970, the agricultural land of Gayasen was compulsorily acquired under the U. P. Awas and Vikas Farishad Adhiniyam by the Meerut Unit of the U. P. Awas Evam Vikas Parishad. Gayasen died in the year 1977 intestate. After his death his assets devolved upon his sons, Giridhari Lal and Ramji Lal. No partition between Gayasen and his sons was done during the lifetime of Gayasen. On July 23, 1983, possession of the acquired land was taken over by the Meerut Unit of the U. P. Awas Evam Vikas Parishad. On August 23, 1990, Additional District Judge, Meerut, awarded enhanced compensation, solatium and interest to Giridharilal under Section 18 of the Land Acquisition Act. On October 11, 1991, Giridharilal received Rs. 4,90,091.02. On November 2, 1991, he received further interest of Rs. 4,82,593.35. Thus, the total interest received is Rs. 9,72,684.37. On February 25, 1992, Girdharilal died. On March 31, 1992, proceeding under Section 148 was initiated for the assessment years 1986-87 to 1991-92 by issuing notices to the legal heirs of the late Giridharilal and six assessment orders were passed under Section 143(3) read with Section 148 of the Act and the income-tax assessed was Rs. 1,33,924 in each assessment year in the status of an individual. The Assessing Officer denied the claim of the heirs of the late Giridharilal to be assessed in the status of a Hindu undivided family. On February 22, 1997, the Commissioner of Income-tax (Appeals), Meerut, allowed the appeals filed by the assessee and held the status of the late Giridharilal as a Hindu undivided family. He held that in the absence of a will the self-acquired property of a father dying intestate and the income thereon was in the status of a Hindu undivided family. Hence, he set aside the assessment orders.