Partial partition under HUF tax law cannot be recognised once the statutory bar applies, even if assessment is completed later.

Section 171(9) of the Income-tax Act, 1961 bars recognition of a partial partition of a Hindu undivided family after the statutory cut-off. The phrase "hitherto assessed" refers to whether the HUF had already been assessed in that status for the period preceding the partition, not to the date on which the assessment order was physically completed. A later assessment order can still relate back to the relevant assessment year, so delayed completion does not validate a partition otherwise hit by the statutory prohibition. The partial partition was therefore not recognised, and the issue was decided against the assessee.

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Issues: Whether a partial partition of a Hindu undivided family could be recognised for income-tax purposes where the assessee had already been assessed in HUF status for the relevant period before the partition, even if the assessment order was passed after the date of partition.

Analysis: Section 171(9) of the Income-tax Act, 1961 was enacted to negate recognition of partial partitions taking place after the statutory cut-off. The expression "hitherto assessed" was held to refer to whether the HUF had already been assessed as such for the period preceding the partition, and not merely to the date on which the assessment order was physically made. An assessment made later can still relate back to the assessment year for which it is passed, and therefore the later completion of assessment does not validate a partial partition that is otherwise hit by the statutory bar.

Conclusion: The partial partition could not be recognised; the issue was answered against the assessee and in favour of the Revenue.

Ratio Decidendi: For the purposes of Section 171(9) of the Income-tax Act, 1961, a partial partition after the cut-off date is not to be recognised where the HUF had already been assessed in that status for the period prior to the partition, and the subsequent date of completion of assessment does not alter that position.

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