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Issues:
1. Validity of partition by karta of Hindu undivided family with no other coparcener under section 9(2) of Agricultural Income-tax Act. 2. Exclusion of income from properties allotted to minor daughters in computing agricultural income. Analysis: 1. The case involved the validity of a partition deed executed by the assessee, acting as karta of a Hindu undivided family, where properties were allotted to minor daughters. The Revenue contended that the transaction was a gift attracting section 9(2)(a)(iv) of the Agricultural Income-tax Act. However, the court held that unmarried daughters have enforceable rights in ancestral properties, and the partition was a settlement of those rights. Citing relevant case laws, the court established that female members are entitled to maintenance and expenses chargeable to ancestral properties, and assets can be allotted to them in lieu of these obligations. The court concluded that the partition was not a transfer without adequate consideration, as the daughters received assets in lieu of their rights, making them absolute owners under the Hindu Succession Act, 1956. 2. The Tribunal had directed the exclusion of income derived from properties allotted to minor daughters in computing the assessee's agricultural income. The court upheld this decision, emphasizing that the assets were allocated to the daughters in settlement of their rights, and there was no excess value transferred beyond what was due as maintenance or expenses. Consequently, the court answered in favor of the assessee on the issue of excluding the daughters' income from the agricultural income computation. As a result, the first question posed did not require an answer, and the parties were directed to bear their respective costs in the case. This judgment clarifies the rights of unmarried daughters in a Hindu undivided family, the validity of partitions involving minor daughters, and the application of section 9(2)(a)(iv) of the Agricultural Income-tax Act in such scenarios.
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