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TMI Blog1981 (1) TMI 121X X X X Extracts X X X X X X X X Extracts X X X X ..... 6-77 the assessee filed returns and in it the status was shown as HUF. The ITO, however, found that the earlier assessments were made without any enquiry and he called upon the assessee to establish that his status was that of the HUF. It was stated before the ITO that his father was carrying on business of general merchandise and money lending and died in 1957 and after his peat the business was carried on by his High Court mother who died in October, 1969. It was also stated that the money lending business was continued after the death of the mother from the capital left by the father. It was also claimed that there was a capital of Rs. 20,000, belonging to his father which allowed to Rs. 40,000 in course of time. These amounts were depos ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssee had rightly been taken as that of the individual. 3. Before us it has been submitted that the AAC erred in upholding the status of the individual when all the earlier assessments had been made in the status of the HUF. He further submitted that the normal status of Hindu is that of a joint family and the presumption would be that the status of the assessee was that of an HUF. It was contended that even if the provisions of the Succession Act were applicable the business carried on by the father should be inherited by all his heirs and not by the assessee alone. In these circumstances the business could not belong to him in his individual capacity but would being to a body of individuals or AOP. It was also submitted that, after that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... From the facts available it appears that the father of the assessee was carrying on some business and after his death the business was carried on by the mother of the assessee. It was after her death that the business was being carried on by the assessee himself. The business in the hands of the father has not been established to be an ancestral business and in absence of any evidence it has to be taken as his individual business. After his death the mother carried on business but there is no evidence to show that it was the joint family business at that time. The individual properties and business of the father could pass to his heirs in accordance with the provisions of the Hindu Succession Act and as they have come to the assessee they w ..... X X X X Extracts X X X X X X X X Extracts X X X X
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