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TMI Blog2000 (9) TMI 205X X X X Extracts X X X X X X X X Extracts X X X X ..... idual because, he was adopted by the widow of the deceased karta of Hindu Undivided Family (HUF for short) only after his death. This claim is also based on the plea that consequent to the death of the karta leaving only his wife behind the HUF has been disrupted and the properties vested by law on the widow by rule of survivorship. 3. The issue that is raised in the present appeal is a unique one and rarely this issue had come up under the Direct Taxes related proceeding. Considering the rarity of the issue and the interest it had created at the time of hearing, we have deliberated upon the issues as raised before us by both the parties. Before we proceed to deal with the legal issues as raised in this appeal, we shall state briefly the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... this conclusion he placed heavy reliance on the decision of Madras High Court in Smt. R. Rajathy Ammalv. CWT[1987] 164 ITR 605. 5. In appeal before DCIT(A) the assessee raised the issue of status with reference to the book 'Mayne's Hindu Law and Usage, 13th Edition'and that according to the Explanation to section 14(1) of the Hindu Succession Act, 1956 the widow had received possession of the properties of the HUF but was not vested on her by'will'or'operation of law'. The decision of the Madras High Court on which Assessing Officer had relied heavily was distinguished on facts and that in the said case the High Court had presumed that the widow of late 'R' was his sole heir, which could happen or is possible by a 'will' or by 'operation ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... adoption of a child and with adoption it became fortified suggesting that the adoption of the child was adoption by her to herself and her husband therefore, the HUF continued. 8. In coming to the above conclusion they had made reference to the two decisions of the Apex Court in Sawan Ratn v. Mst. Kalawanti AIR 1967 SC 1761 and Smt. Sitabai v. Ramchandra AIR 1970 SC 343. Referring to the decision in Sawan Ram's case it was observed that adoption to a Hindu was intended to cover cases where one person adopts and the adopted child is also treated as adopted by the spouse when only the adoption is complete. It was further observed that the adoption by a female Hindu widow when the husband is dead or has completely or finally renounced the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he had her interests in the joint family property. 11. The facts in the present case is brought out earlier go to show that the karta had died leaving his widow and she had adopted the assessee and by virtue of the adoption by a Hindu, the adopted son is treated as adopted by the deceased father too and thereby he acquires the coparcenary rights in the HUF property as if it existed all the time. The fact that at the time of adoption the spouse of the widow was not alive in accordance with the above decisions does not alter his rights as a coparcener. In the circumstances of the case, we are therefore, of the opinion that the claim of status of HUF has been justifiably upheld by the DCIT(A) and we uphold his order. 12. The appeal by th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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