9911796707
TMI Blog1977 (3) TMI 59X X X X Extracts X X X X X X X X Extracts X X X X ..... t. V. Devaki Ammal vs. Assistant Controller of Estate Duty, Madras (1). The Assistant Controller of Estate Duty did not agree with the accountable person. He observed that a partial partition took place in the family on 31st March, 1969 and in that partition only the money lending business assets of the joint family were divided by metes and bounds amount the father and four sons who constituted the joint family. He held that 1/5th share of the deceased in the joint family properties passed on his death and that 4/5th share of the lineal descendants in the joint family properties should be aggregated with the dutiable estate for rate purpose under s. 34(1)(c) of the Estate Duty Act following the ruling of the Andhra Pradesh High Court in th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... other items of assets continued to remain with the joint family. He referred us to the passage occurring at pp. 416, 411, 420, 421 and 422 of Mulla s Hindu Law, Fourteenth Edition, in support of his stand. 4. We have carefully considered the rival submissions. We have also perused the passages from the books cited before us. The deceased M. R. Raghupathy Gouda constituted a joint family of himself and his four sons viz., R. Jayapal Gowds, R. Rajappa Gowda, R. Gopal and R. Chandrasekhara Reddy. On 31st March, 1969 an agreement was entered into between M.R. Raghupathty Gowda and his four sons aforesaid. That agreement was written up in Telugu. The learned counsel for the assessee as well as the learned Departmental Representative have furn ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ivision thereof the net income therefrom should be equally divided among the members of the family according to their shares. On a careful consideration of the entire agreement we are of the view that the members of the family have decided to sever the joint status from 31st March, 1969 and that the joint business capital was actually divided in equal proportions among the members of the family. The other properties were allowed to remain joint till the actual division by metes had bounds and that till then the net income therefrom should be divided among the members of the family in accordance with their shares. On the above facts, the point that calls for consideration is whether the assets in question belonged to the Hindu Undivided Fami ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... us. The intention to separate may be evinced in different ways, either by explicit declaration or by conduct. It may be expressed by serving a notice on the other coparceners, and the severance of status takes place from the date when the communication was sent and not when it was received. Once a communication of the intention is made by a member which has resulted in the severance of the joint family status it would not thereafter be open to him to nullify its effect by revoking or withdrawing the notice. He cannot get back to the old position by mere revocation of the intention. The notice however, may be withdrawn with the consent of the other coparceners. It may also be expressed by the institution of a suit for partition. An oral requ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... status of the family. It is not the case of the revenue that this document was not intended to be acted upon or sham or nominal. At page 420, para 328 of Mulla s Hindu Law it is stated as under: "........... Where there is evidence to show that the parties intended to sever, then the joint family status is put an and to, and with regard to any portion of the property which remained undivided the presumption would be that the members of the family would hold it as tenants-in-common until a special agreement to hold as joint tenants is proved." In "Hindu Undivided Family, Coparceners and Income-tax Law." 2nd Edition., 1975 By B. Malik and S.B. Manchanda at page 591 reference is made to the case of P. Cheradappa Pai (3) and it is stated as ..... X X X X Extracts X X X X X X X X Extracts X X X X
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