TMI Blog1994 (7) TMI 32X X X X Extracts X X X X X X X X Extracts X X X X ..... ke to point out that this question appears to be no longer res integra. Brief facts are the following : The Assistant Controller of Estate Duty estimated the value of the residential house belonging to the Hindu undivided family of the assessee after allowing depreciation at Rs. 2,05,957. He granted exemption of Rs. 25,725 in respect of one-eighth share of the deceased in the house under section 33(1)(n) of the Estate Duty Act, 1953 (hereinafter referred to as "the Act"), and added a sum of Rs. 1,54,458 being the value of the shares of the six lineal descendants for rate purpose, under section 34(1) of the Act. The accountable person, aggrieved by that, moved the Appellate Controller of Estate Duty, without success. Likewise, on further ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... se cited before us on this issue and directly on point is CED v. Estate of Late R. Krishnamachari [1978] 113 ITR 200 (Mad), wherein the learned judges, after considering an identical question, have answered as follows (the headnote is set out) : " For the purpose of determining the value of the share of a member of the joint Hindu family and for the purpose of imposing estate duty on his estate after his death, the total value of all the properties valuing each of them separately must first be determined under section 39(3) and thereafter the properties to the extent to which exemption has been given under the various clauses in section 33(1) will have to be taken out. The aggregate of the remaining must be divided as if at the time of de ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cessarily and inextricably mixed up with the computation of the total value of the property. The provisions of section 33(1)(n) as of any other exemption provision under section 33 will have to be applied for the purpose of valuing the total principal value of the joint family property and the aliquot share of the deceased in the property will have to be derived therefrom. All the related steps in the assessment to estate duty, viz., valuation, aggregation and computation, are tied up together for the purpose of effecting the charge. The exemption under section 33(1)(n) depends necessarily on the process of ascertaining the principal value. Therefore, the exemption under section 33(1)(n) should be given in respect of the dwelling house from ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . . . . the deceased had only one-fifth share in the undivided residential house which was exempt under section 33(1)(n) and value of the balance four-fifths share of the house property cannot be taken into consideration for the purpose of determination of the net principal value of the estate of the deceased inasmuch as the said four-fifths share belonged to other coparceners. Therefore, the value of the entire house is liable to be excluded from the net principal value of the estate " We find from this judgment ( CED v. Estate of Late Durga Prasad Beharilal [1979] 116 ITR 692 (AP) ) that there is no detailed discussion appreciating the language employed in sections 34 and 39 of the Act, as done in the judgments rendered by the Madras an ..... X X X X Extracts X X X X X X X X Extracts X X X X
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