TMI Blog1999 (2) TMI 44X X X X Extracts X X X X X X X X Extracts X X X X ..... he orders passed by the authorities below. The petitioner had been assessed under the Karnataka Agricultural Income-tax Act, 1957 (hereinafter called "the Act"), in the status of tenants-in-common under section 3(3) of the Act which provision reads as under : "In the case of persons holding property as tenants-in-common and deriving agricultural income, the tax shall be assessed at the rate applicable to the agricultural income of each tenant-in-common," For the assessment year 1982-83 ending with March 31, 1983, the petitioner filed his return in the status of tenants-in-common in the month of July, 1983, as was being done for the earlier assessment years. Tenants-in-common status consisted of four persons including the petitioner havi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ants-in-common. The sum of Rs. 91,977.19 was included and assessed in the status of an association of persons. Aggrieved by the order of assessment, the petitioner filed an appeal before the first appellate authority under section 32 of the Act which was dismissed on July 14, 1994. The petitioner filed a further appeal before the Karnataka Appellate Tribunal, Mangalore (for short, "the Tribunal"), which was also dismissed on September 28, 1995. The Tribunal confirmed the orders passed by the authorities below. It was held that the status of tenants-in-common available under section 3(3) having been deleted, the petitioner could not be treated as tenants-in-common. The petitioner had associated himself with three others in coming to a co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... family, an Aliyasanthana family or branch, a Marumakkattayam tarwad or a tavazhi possessing separate properties, or a Nambudri or other family to which the rule of impartibility applies, a firm or a company, an association of individuals, whether incorporated or not, and any institution capable of holding property." As the association of individuals was treated to be a person in view of the inclusive definition of the word "person", the association of individuals was treated to be one unit for the purposes of taxation, whereas under the status of tenants-in-common as is evident from a reading of section 3(3) the assessment was on the income of each tenant-in-common treating each tenant to be a separate unit for the purpose of taxation. Th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the four persons who were tenants-in-common continued their operations as in the previous year and, therefore, there was no change in their status and as they could be treated and continued as an association of persons for cultivation and deriving income from the same on the basis of their earlier returns. Further we do not agree with the Tribunal that there was no necessity for calling for a fresh return because the assessing authority had intimated the petitioner his intention of allocating different status from the one declared in the return and the same is sufficient to meet the requirement of law. In the given circumstances if this was taken to be an option for the petitioner to file a fresh return, then there was no difficulty in perm ..... X X X X Extracts X X X X X X X X Extracts X X X X
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