Form of assignment in Rule 31 of the E.D. Rules. - Income Tax - 1059/CBDT

INSTRUCTION NO. 1059/CBDT Dated : May 14,1977 Section(s) Referred: Rule 30 and 31 of E.D.Act Statute: Estate Duty Act The form of assignment given in Rule 31 of the E.D. Rules provides that if the policy matures during the life time of the assured, the benefit of the policy and the right to receive moneys thereunder shall revert to the assured as if this assignment had not been made. A question arose for consideration whether, under these circumstances, it is necessary for the Central Government to pass orders re-assigning the policy to the assured. 2. The Board are advised that having regard to the language of Rules 30 31 of the E.D. Rules, it is not necessary to re-assign the policy to the assured if such policy matures during the life time of the assured or is surrendered by the assured. Thus in cases in which the policy is assigned to the President of India for payment of estate duty and it matures during the life time of the assured or is surrendered by the assured, no specific order is required for re-assignment of the policy to the assured.