https://www.taxtmi.com/caselaws?id=7596 Penalty proceedings under section 28 of the Income-tax Act, 1922 are distinct from assessment proceedings, and a Hindu undivided family must exist not only when the proceedings begin but also when penalty is actually levied. The provisions on partition and disruption, including section 25A, preserve liability for assessment purposes but do not extend that principle to penalty. Section 44 likewise does not validate penalty where the family has already ceased to exist. On that reasoning, penalty could not be sustained against the dissolved Hindu undivided family, and the matter was decided in favour of the assessee. en-us Tue, 18 Mar 1969 00:00:00 +0530 Thu, 05 Mar 2009 13:00:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=7596 Penalty proceedings under section 28 of the Income-tax Act, 1922 are distinct from assessment proceedings, and a Hindu undivided family must exist not only when the proceedings begin but also when penalty is actually levied. The provisions on partition and disruption, including section 25A, preserve liability for assessment purposes but do not extend that principle to penalty. Section 44 likewise does not validate penalty where the family has already ceased to exist. On that reasoning, penalty could not be sustained against the dissolved Hindu undivided family, and the matter was decided in favour of the assessee. Case-Laws Income Tax Tue, 18 Mar 1969 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=7596