V D M R M M R M MUTHIAH CHETTIAR Vs. COMMISSIONER OF INCOME TAX MADRAS

JUDGEMENT

(1.) THE Judgment of the court was delivered by

(2.) RAMANATHAN Chettiar his son Muthiah Ghettiar-called here-inafter for the sake of brevity, Muthiah and RAMANATHAN, Annamalai andAlagappaii, sons of Muthiah, constituted a Hindu undivided family. The familyowned a 3/5th share in M.R.M.S. Firm, Seramban in Malaya. The firm wasassessed under the Indian Income-tax Act, 1922, in the status of a firm resi-dent within the taxable territories. On 16/09/1950, Muthiah separated<PG>677</PG>from the family taking his l/5th share in the M.R.M.S. Finn. On April 13.1951, the status of the family became completely disrupted and the three sonsof Muthiah took in equal shares the remaining 2/5th share-the grandfatherRAMANATHAN taking no share in the M.R.M.S. Firm.

(3.) RAMANATHAN, Alagappan and Annamalai-the three minor sons ofMuthiah represented by their mother and guardian also filed returns oi"<PG>678</PG>their respective income for the years 1952-53, 1953-54 and 1954-55 and dis-closed therein their shares in the profit from the 2/5th share in the M.R.M.S.Firm.