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TMI Blog1971 (11) TMI 9X X X X Extracts X X X X X X X X Extracts X X X X ..... UP. JUDGMENT The judgment of the court was delivered by H. SWARUP J.-This reference has come to us on an application made by the Commissioner of Wealth-tax, U P. 1, Lucknow, under section 27(1) of the Wealth-tax Act, 1957. The question of law referred to us is: "Whether, on the facts and in the circumstances of the case, the sum of Rs. 2 lakhs was rightly excluded from the computation o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... isting of Sri Kishan and his sons as a gift to Tej Prakash and was sought to be excluded from the wealth of the Hindu undivided family. Subsequently, on attaining majority, Om Prakash and Laxmi Prakash also ratified the gift. For the assessment year 1964-65 the Wealth-tax Officer rejected the assessee's claim for excluding the amount of Rs. 2 lakhs from the wealth of the Hindu undivided family o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fted. Only an entry in the books of the assessee was made by which the Capital account of the Hindu undivided family had been debited and that of Tej Prakash credited with a sum of Rs. 2 lakhs on October 6, 1954. On this amount no interest was ever paid to Tej Prakash except in October 1963, when a sum of Rs. 12,852 was credited by way of interest in the account of Tej Prakash. Some immovable prop ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of Rs. 2 lakhs cannot therefore he held to be available to the assessee for making a gift of and mere book entries crediting the amount of Rs. 2 lakhs in the assessee's own books in the name of Tej Prakash cannot amount to a gift of the same amount. The circumstances that no interest was credited to the assessee for a number of years and the money was available for the business of the Hindu undivi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mstances of the case, we are of opinion that no gift in fact had been made by Sri Kishan Das to Tej Prakash and the sum of Rs. 2 lakhs could not be excluded from the computation of the assessee's wealth. We, accordingly, answer the question in the negative. The reference is allowed with costs which we assess at Rs. 200. Counsel's fee is assessed at the same figure. Question answered in the neg ..... X X X X Extracts X X X X X X X X Extracts X X X X
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