TMI Blog1978 (8) TMI 117X X X X Extracts X X X X X X X X Extracts X X X X ..... hat has been accepted in earlier years and he held that the doctrine of blending can be done when the separate property which is thrown into the common stock confers benefit on the joint family and if such property involved liability, then this doctrine of blending would not be applicable because a co-parcener cannot unilaterally burden the family with his separate property involving liability under the guise of throwing it into the common stock. Accordingly, he was of the opinion that it would be incorrect to assume that the share of the assessee in the firm consisted only of income yielding assets but it equally comprised of risk and liability of paying debts of the firm. On the above grounds he ignored the declaration made by the assesse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ordships on page 458 with reference to the question whether any member of joint family can try to throw his liabilities into the common hotchpot, that it was not necessary for their present purpose to go into this nice question as the matter has not been gone into interest the earlier stages and the matter may be reserved for consideration on a suitable occasion. He also referred the passage appearing in paragraph 284, pp. 304 to 305 of the Book Hindu Law by N.R. Ragahavachariar, wherein the author has stated that the manager of a HUF, cannot start a new business so as to be binding upon the other members. He further referred to the passage in the same paragraph that "hence a decree passed against the manager in respect of a liability incur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lp the Department on the facts of the present case. Further, the Department's argument that there was only an application of income by the declarations does not appeal to be correct because the declaration reproduced in the order of the Tribunal referred to above shows that there was impressing of 35/100 shares in M/s. Sri Krishna Corporation with the character of joint family property and abandonment by the assessee of all his separate rights. Therefore that argument of the Department also does not hold good here. On the other hand, the decision of the Gujarat High Court relied on by the Tribunal and also the decision of the Andhra Pradesh High Court (113 ITR 133) supports the point that the share are impressed with the character of HUF pr ..... X X X X Extracts X X X X X X X X Extracts X X X X
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