1993 (6) TMI 37

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..... 0/(Ahmd.) of 1977-78. It is from these appeals that the present reference has arisen. In fact, three separate reference numbers ought to have been given to these proceedings. We, accordingly, direct that they shall be numbered as Wealth-tax References Nos. 29, 29A and 29B of 1980, which are now being decided by the present common judgment and order. We are concerned with two trusts created by the settlor, Shri Vadilal Lallubhai Mehta. The first indenture is dated March 16, 1959, whereunder certain specific shares of a specific value were transferred to the trustees to be dealt with according to the terms of the trust. Clause 3A(a) of the indenture lays down the obligation on the trustees in respect of the assessment years 1960-61 to 1 .....

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..... ) which deals with the assessee reads as under : " Subject thereto, to pay the residue of such income to Suhas at the end of each financial year so long as and during the time that Suhas remains unmarried. The Tribunal, while dealing with the contention taken before the Appellate Assistant Commissioner, appreciated that the assessee has absolutely no reversionary interest in the facts of the case either in trust NO. 1 or trust No. 2. It was contended that the assessee was a minor and has no interest whatsoever in the trust under the respective clause 3A(d) and in respect of the relevant assessment years. The Tribunal rightly came to the conclusion that it was an assumption on the part of the Appellate Assistant Commissioner to hold that .....

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..... arise at least so far as these assessment years are concerned. The Tribunal has rightly observed to the effect that the valuation report valuing the interest of the assessee as on March 31, 1968, is based on the assumption that the income would be payable to the assessee until his marriage. In fact, in view of the correct interpretation of the relevant clauses made hereinabove, it is obvious that the assessee would not be entitled to any amount in respect of the assessment years 1965-66 to 1967-68, even if he remains unmarried. Thus, it would not be correct to observe that the assessee would be entitled to some benefit from the trust even after his marriage. We are not concerned with other clauses or provisions made in the said indenture .....

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