9911796707
TMI Blog1973 (12) TMI 1X X X X Extracts X X X X X X X X Extracts X X X X ..... tion that arises for decision in these appeals is whether a Hindu deity is an " individual " within the meaning of that word under the provisions of the Indian Income-tax Act, 1922. It arises out of the judgment of the High Court of Calcutta in a number of references under section 66(1) of the Act. The facts necessary for the decision, in a short compass, are these: In the year 1820 one Smt. Chitra Dassi executed an ekrarnama making a gift of a piece of land for religious purposes. In 1842 she executed a will referring to the fact that she had earlier made the property debutter and directed her four sons, the executors, to perform the daily service of Sri Radhagobindjee. She died in 1855. In 1876 a suit was filed in the Calcutta High Court ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... able to assessment under the Indian Income-tax Act? " On question No. 1 the High Court held that upon a proper construction of the relevant documents executed by Chitra Dassi and the relevant schemes sanctioned and orders passed by the High Court there was a dedication of the properties to the deity, but that there was no trust in the technical sense, that is to say, as understood in the English law. In respect of the first part of the second question both parties before the High Court agreed that in that question the word " trust " did not mean a trust in the technical or the English sense. The High Court pointed out that it has been held that a dedication is a trust in the general sense within the meaning of t he expression as used in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... deity would be a person because a person will include a juristic person. That a Hindu deity is a juristic person is a well-established proposition and has been so for a long time. In Maharjee Shibessouree Debia v. Mothoorantalli Achario it was observed: " The talook itself, with which these jummas were connected by tenure, was dedicated to the religious services of the idol. The rents constituted, therefore, in legal contemplation, its property. The sebait had not the legal property, but only the title of manager of a religious endowment. In Prosunno Kumari Debya v. Golab Chand Baboo , the above observations were cited with approval. In Manobar Ganesh Tambekar v. Lakhmiram Govinndram, a Division Bench of the Bombay High Court observed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the authorities; for this doctrine, thus simply stated, is firmly established." The authorities thus amply establish that a Hindu deity is a juristic person capable of holding property. Reference was made to the decision in Commissioner of Income-tax v. Ahmedabad Mill Owners' Association where Beaumont C.J. held: " ' Individual ', where first used, must mean human being, because it is used as something distinct from a joint family, firm and company. The whole expression seems to me to mean ' every human being, Hindu undivided family, company, firm and other association of human beings." Though in consequence of this decision the Income-tax (Amendment) Act, 1939, amended the words de association of individuals " into " associati ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... me High Court in Sri Sridhar v. Income-tax Officer held that a Hindu idol is a juristic entity who is given the status of a human being capable of having property and it can be called an " individual ". We are of opinion that as a Hindu deity can hold property and be in receipt of income and can also sue and be sued in a court of law there is no reason why its income should be held to be outside the ambit of taxation if it can be brought within it without straining the language of the statutory provision. It would naturally be taxed through its shebaits who are in possession and management of its property. We may, however, mention that the problem whether the Hindu deity is an individual is not likely to arise after the enactment of the ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
