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TMI Blog1984 (2) TMI 124X X X X Extracts X X X X X X X X Extracts X X X X ..... Manoharlal, J. Kalro filed the returns in the status of an HUF consisting of himself as the karta and his wife as the only other member of the family during the two previous years under consideration. It may be stated that the assessee was blessed with a son only on 14-12-1977, i.e., after the close of the previous year 1976-77. In these returns, the assessee showed income from property and 50 per cent share profit in a firm styled Jethanand Manoharlal. The assessee became a partner in the aforesaid firm in 1973-74. The case of the assessee was that he, along with his brother, received gifts from his father and mother and that the gifts were given for the benefit of the HUFs that would come into existence after the sons got married in due c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n filed by it. 5. The assessee appealed to the AAC. The AAC found that the assessee got married on 16-5-1976 and that he received certain gifts from his father and mother which were invested in the aforesaid firm. He accepted the claim of the assessee that the status should be taken as that of an HUF after the marriage of the assessee on 16-5-1976. He also held that the affidavit dated 24-10-1979 showed the clear intention to the effect that the gifts should be enjoyed by the family of the donee. Hence, he held that the status of the assessee should be taken as that of an HUF as a substantive measure and not as a protective measure. 6. Smt. Vijayalakshmi, the learned representative for the department, urged before me that the learned AA ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t Lal Chhabda v. CIT [1975] 101 ITR 776. The principle laid down therein is that if a property belonged to a joint Hindu family at any time, then it will not cease to be the joint family property merely because, in course of time, the number of coparceners has been reduced to one. On the other hand, if a property never belonged to a joint family in the past, then it cannot become a joint family property until and unless there are at least two coparceners in the family. In view of the above proposition laid down by the Supreme Court, it is clear that the assessee and his wife could not form a joint Hindu family in respect of the gifted properties. It was never owned by any joint family in the past. The position will be different after the bi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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