9911796707
TMI Blog1969 (12) TMI 24X X X X Extracts X X X X X X X X Extracts X X X X ..... possessed by the deceased, Maharaja Udai Bhan Singhji was sealed by the Government of India. Maharaja Rana Hemant Singhji, (hereinafter called "the assessee ") was thereafter recognised as the successor to the deceased Maharaja and the assets which the Government of India had sealed were released and handed over to Rajmata, the guardian of the assessee. Part of the assets consisting of gold sovereigns, old silver rupee coins and silver bars were sold for Rs. 20,94,785. The Income-tax Officer, Bharatpur, while assessing the assessee for the assessment year 1958-59, computed Rs. 3,44,303 as capital gains on these sales taking into account the market value of the assets sold as on 1st January, 1954, as given hereunder : Quantity Sale price R ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ant part of the definition of capital assets in section 2(4A) runs as follows : 2. (4A) 'Capital asset' means property of any kind held by an assessee, whether or not connected with his business, profession or vocation, but does not include -......... (ii) personal effects, that is to say, movable property (including wearing apparel, jewellery, and furniture) held for personal use by the assessee or any member of his family dependent on him ; .......... It is contended that, according to the custom of the family, these articles were taken out twice a year for puja, once for Mahalakshmi Puja and again on Diwali, and thus they formed part of the property meant for puja and were thus articles of personal use. In support of this, the assesse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ng puja would not make such treasure an item of personal use. Learned counsel for the assessee has relied on K. D. Joseph v. Esther Phillips, in which "personal effects " have been explained in connection with the construction of a will. It has been observed : " The question is whether the bequest on its true construction is only of things which can properly be treated as personal effects, that is to say, physical chattels, having some personal connection with the testator such as articles of personal or domestic use or ornament, clothing, furniture and so forth which would not include money or securities for money or whether in the actual context it extends to the choses-in-action represented by the pass books and the promissory notes. B ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
