9911796707
TMI Blog1982 (9) TMI 143X X X X Extracts X X X X X X X X Extracts X X X X ..... designated as M.K. Ananthakumar Marriage Benefit Trust, whereby he settled absolutely on the trustees a sum of Rs. 15,000 in cash to hold the same for the objects and purposes mentioned therein. According to clause 19 of the deed the trust is said to be irrevocable. Under clause 20, the trustees are enjoined at the time of marriage of the settlor to pay all the accumulated funds in the trust, both the corpus and the accrued income thereon, to the bride. According to clause 22, if the marriage is not solemnised for any unforeseen reason within a period of ten years from the date of the deed, the trustees have the power to apply the trust fund and the accumulation thereof in any manner they deem fit. It further appears that the amounts recei ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Act'), and interest referable thereto at Rs. 9,139 for the period the amount was lying to the credit of the account of the trust in the books of Sri Ananthalakshmi Traders and accrued interest of Rs. 44,800 for the period from 28-8-1972 to 13-4-1975, the valuation date. The AAC upheld the inclusion of the amounts made by the WTO on the ground that there was a violation of the provisions of clauses 20 and 22 of the trust deed, according to which the accumulated funds in the trust had to be handed over at the time of the marriage of the settlor and not earlier. 2. It is contended before us in the further appeal on behalf of the assessee that the provisions of section 4(1)(a) are not attracted to the facts of this case. It is submitted that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... idered in the Supreme Court decision in Philip John is somewhat different, but it does not, according to us, make any difference to the principle of the decision being applied to the facts of this case. The words 'to whom such assets have been transferred' would, according to us, mean to the spouse indicated in the earlier part of the clause and not to the individual or person concerned who subsequently becomes the spouse as argued by the learned departmental representative. In Sampat Iyengar's Three New Taxes, 5th Edition at page 310 the same view has been expressed. It is stated that for the application of this clause the relationship of spouse should have existed at the time of transfer. We also do not find any force in the department's ..... X X X X Extracts X X X X X X X X Extracts X X X X
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