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Issues:
- Whether the Tribunal was right in confirming the rejection of the applicant's claim for deduction of maintenance and marriage expenses in computing estate value for estate duty purposes? Analysis: The judgment pertains to a question of law under the Estate Duty Act concerning the deduction of maintenance and marriage expenses from the estate of the deceased. The claim for deduction of a sum of Rs. 1,00,000 for the maintenance of the widow and unmarried daughter was rejected by the Assistant Controller of Estate Duty, which was upheld by the Appellate Controller and the Tribunal. The rejection was based on the grounds that such claims were not provided for under the Estate Duty Act. The Appellate Controller referenced the Hindu Succession Act and a previous decision of the Andhra Pradesh High Court to support the rejection, emphasizing that the claim for maintenance is not automatically a charge on the assets of the deceased. The accountable person argued that even if no amount could be claimed for the maintenance of the widow, the marriage expenses of the daughter should be allowed as a deduction. Reference was made to the Hindu Adoptions and Maintenance Act, which outlines the obligation of a Hindu father to spend on the marriage of his unmarried daughter. However, the court highlighted that this obligation is not automatically a charge on the father's property unless specified in a will, agreement, or court decree. The court differentiated between the obligations to maintain the wife and provide for the daughter's marriage, stating that they cannot be viewed on the same footing. The judgment also discussed previous decisions of the court that addressed similar issues. It was noted that the claim for maintenance, including reasonable expenses for the marriage of the unmarried daughter, should be considered under the statutory provisions rather than relying solely on textual Hindu law. The court emphasized that the estate can only be said to be encumbered after a charge is created by the award of maintenance. Ultimately, the court held that the claim for maintenance of the widow and unmarried daughter cannot be regarded as an encumbrance on the estate. Citing a Supreme Court decision, it was concluded that without evidence of the estate being burdened with debt or encumbrance due to the deceased's failure to fulfill statutory obligations, the deduction for maintenance and marriage expenses cannot be allowed. Therefore, the Tribunal was deemed correct in confirming the rejection of the applicant's claim for deduction, and the Revenue was awarded costs.
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