9911796707
TMI Blog1998 (11) TMI 28X X X X Extracts X X X X X X X X Extracts X X X X ..... bunal was right in its conclusion that the assessee did not, own the funds offered to him, but held out in trust ?" Shri Vanamamalai Ramanuja Jeer Swamigal, Nanguneri, is the head of the Shri Vanamamalai Mutt, Nanguneri, Tirunelveli District. He created a trust under a deed dated February 29, 1983, named after the presiding deity of the Mutt Shri Aranganagarappan Saswatha Dharmasthapana Trust. The principal object of the trust was to renovate the buildings of the mutt and temples and to establish schools for propagation of Sanskrit and the Vaishnavite tradition. The trust was created with an endowment of Rs. 5,000. Subsequently, a further sum of Rs. 2,50,000 was given to that trust. The moneys that were given to the Swamigal were the am ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nse of term, in view of the obligation in, duties resting on him, he was answerable as a trustee in the general sense of formal administration. The Tribunal has held that when a devotee places some money as an offering at the feet of the sanyasi, there is a dedication of property for religious purposes and that it is a gift by him for which no acceptance is necessary to complete the gift. The Tribunal observed that the dedication is nothing but a compendious expression of the pious purpose for which the dedication is designed and the sanyasi merely accepts the responsibility of carrying out the intention of the devotees, who have laid the offerings at his feet. The Tribunal concluded that the application of the money by the Swamigal by dedi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ood to include the maintenance of the math, the support of its head and his disciples and the performance of religious and other charities in connection with it, in accordance with usage. Thus, the head of a Mutt, when he receives sambhavanai or padhakanaikkai from his followers, does not receive the money for himself to be spent as he likes and for any purpose of his choice and the offerings are given by his followers with the object to apply the offerings for religious purposes more particularly those connected with the Mutt of which the Swami to whom the offerings are made is the head. The offerings so received are subject to an obligation even at the time of its receipt to be applied for religious purposes connected with the Mutt and it ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t does not contemplate the transfer of property to oneself. We are in respectful agreement with what been held in that decision by the learned judges. The creation of the trust by the jeer, therefore, has only to be regarded as a vesting declaration which did not involve the transfer of the money which has been offered to him by way of padhakanikkai or sambhavanai, which amounts in fact were burdened with the obligation to apply the same for religious purposes and for the attainment of the objectives of the Mutt and, therefore, did not involve any gift to the trust which could attract gift-tax. The questions referred to us are answered in favour of the assessee and against the Revenue. The assessee is entitled to costs with a sum of Rs. ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
