COMMISSIONER OF INCOME-TAX, MADRAS Vs. MOHANMAL CHORDIA

JUDGEMENT

(1.) This appeal has been preferred by the Income-tax Officer, IV Circle, Madras, against the order of the Appellate Assistant Commissioner modifying the assessment made in this case. The appellant assessed the respondent as a Hindu undivided family and directed him to pay a tax of Rs. 54,990-9-0 on an income of Rs. 1,75,358. The Appellate Assistant Commissioner found the income to be Rs. 1,06,370 on the grounds which shall be considered in the other appeal against quantum of income preferred by the respondent of this appeal. The other appeal is R.A.A. No. 29 Madras of 1941-42.

(2.) The admitted facts of the case will be clear by the following pedigree which will show is sought to be assessed in his hands. The respondent is an an Oswal Jain :- Manmul, Sohanmul and Mohanmul was each in his turn adopted. Sha Agar Chand died on February 12, 1891 leaving a will," dated the February 4, 1891. Manmul was adopted by his widow Champa Kuvar, on February 26. 1891. He died intestate on June 5, 1895. His widow Sada Kuvar obtained letters of administration to her husbands estate on August 12, 1895. She adopted Sohanmul. There was an ante- adoption agreement dated August 25, 1896. Sohanmul was adopted by Sada Kuvar on August 31, 1896. Sohanmul also died intestate in July 1915. Sada Kuvar gifted the properties to Udai Kuvar by means of a gift deed, dated April 14, 1918. Sada Kuvar died in 1923. Udai Kuvar adopted Mohanmul in May 1918. She died in April 1931. She made gifts to her grandsons and grand-daughters in October 1930.

(3.) The law of adoption in relation to the Jains may be briefly set out so as to exhibit a clear conception of the case. The Jains do not believe on adoption in the same manner as the Hindus. Adoption among the Jains lacks spiritual element and is secular in character as the Jains do not perform such ceremonies after death as the Hindus do. The law in several particulars. For instance, a Jain widow can adopt without the permission of her husband or his kinsmen, while a Hindu widow requires such a permission. It is not necessary that the boy to be adopted should be unmarried. No religious ceremonies are necessary nor is there any restriction regarding the age of the adoptee. Relations prohibited for adoption amongst the Hindus are not prohibited from adoption among the Jains. The following are the case law :- Lakshmi Chand V/s. Gatto Bai : It is true that the powers of a Jain widow in the matter of adoption are of an exceptional character, namely, that she can make an adoption without the permission of her husband or the consent of his heirs and that she may adopt daughters son; and further that no ceremonies or forms are necessary. But, except in these respects it is not controlled by the Hindu Law of adoption, we think that in all others its principles and rules are applicable. Asharfi Kunvar V/s. Rup Chand : They find that it has been held that the ordinary Hindu Law of inheritance is applicable to Jains in the absence of proof of special customs and usages varying that law and the same rule has been applied in matters of adoption although the reasoning on which the law is based is not wholly applicable to Jains as no spiritual efficacy is attached in their case of adoption. It is, therefore, evident that Jains are governed by the Hindu Law of inheritance and of adoption except in so far as these laws are varied in certain particulars due to to special and usages.