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2019 (2) TMI 35 - ITAT AHMEDABADLTCG on sale of ancestral property - appellant sold his ancestral property share for ₹ 99,00,000/- and out of which he paid ₹ 7,00,000/- to his divorced wife and ₹ 7,00,000/- to his minor son and ₹ 7,00,000/- to his minor daughter who are staying with the divorced wife - appellant’s contention is that he actually received ₹ 78,00,000/- and he has already paid tax on ₹ 78,00,000/- hence no tax laibility Held that:- In the Hindu Succession Act, 1956 amended in 2005 state that Hindu family governed by the Mitakshara law, the daughter of a coparcener shall be a coparcener by birth in her own right in the same manner as the son and will have rights in the coparcenary property as she would have had if she had been a son. Since ancestral property was sold by the appellant and his minor son and daughter are equal beneficiary of the sold property but out of 99,00,000/- appellant has paid ₹ 14,00,000/- to the minor children and ₹ 7,00,000/- to his divorced wife. We hold that for ₹ 14,00,000/- which were paid to minor children will not be taxed in the hand of appellant and remaining 7,00,000/- which was paid to divorced wife will be taxed in the hands of the appellant. In other words, appellant shall be taxed for ₹ 85,00,000/- not for ₹ 99,00,000/-. In terms of above, we partly allow the appeal of the assessee.
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