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Section 4 of the Income-tax Act, 1961 - Hindu undivided family - Assessability of - Whether in Kerala State, in view of Kerala Hindu Joint Family (Abolition) Act, 1975 which came into force on 1-12-1976, no HUF could come into existence or revive after that date - Held, yes Facts The assessee who was a member of a HUF separated from the family on 2-9-1974. He was thereafter assessed as individual up to and inclusive of 1978-79. He got married on 12-6-1978. In the assessment for 1979-80, the assessee claimed the status of a HUF in respect of the share in- come from the firm in which he was a partner. The ITO rejected the claim and held that in view of the Kerala Joint Hindu Family (Abolition) Act, 1975 which came into force on 1-12-1976, the assessee could not claim the status of a HUF. The AAO and the Tribunal upheld the ITO's order. On reference : Held As held by this Court in WTO v. Madhavan Nambiar [WT Appeal No. 159 of 1981] there could be no joint Hindu family in the State after 1-12-1976. It was a case of the statutory extinction of joint family. When the system had been abolished and the right by birth has been put to an end and the provision has been made for distribution of the properties owned by the joint family the dormant character of the property obtained by individual member cannot revive and leave the imprint of joint property. Therefore, no undivided family could come into existence or revive within the State where the system had been statutorily put an end to. The Tribunal was, therefore, justified in rejecting the assessee's claim for assessment in status of a HUF. Case referred to WTO v. Madhavan Nambiar [WT Appeal No. 159 of 1981]. Jose Joseph for the Applicant. P.K.R. Menon for the Respondent. JUDGMENT Beevi, J. - The question referred for our opinion under section 256(1) of the Income-tax Act, 1961 ('the Act') is this : "Whether, on the facts and in the circumstances of the case, the Tribunal was right in holding that no HUF came into existence on the marriage of the assessee, in view of the Kerala Joint Hindu Family System (Abolition) Act, 1975 ?" 2. The assessment year in question is 1979-80. The assessee who was a member of a HUF…

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