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TMI Blog1997 (7) TMI 112X X X X Extracts X X X X X X X X Extracts X X X X ..... istering or in realising the property falling under section 48 of the Act. The appellants are only entitled to deduction of the death duty paid in England out of the estate duty payable as computed by the authorities under the Act in this country. It is difficult to accept the argument of the appellant that relief granted by way of avoidance of double taxation is not a relief under the provisions of the Act and that there is a distinction between the relief under the agreement entered into by virtue of the provisions of section 30 and the relief to be given under section 48 of the Act. As regards the interest paid on delayed payment of the death duty in England and interest on service charges paid to the Lloyds Bank, it is necessary to n ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the market value of gold prevailing in India as on the date of death or the international price of gold as on that date ? (3) Whether, on the facts and in the circumstances of the case, the Tribunal was right in law in holding that the market value of the annuity deposits was to be included in the principal value of the estate of the deceased ? (4) Whether, on the facts and in the circumstances of the case, the Tribunal was justified in confirming the disallowance claimed by the accountable persons under section 48 of the Act in respect of the death duty paid in U. K., interest paid on death duty in U. K., interest payment to Lloyds Bank in U. K., and loss on devaluation ? (5) Whether, on the facts and in the circumstances of the c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o Lloyds Bank 1,078.25 Solicitor's fee paid in London 4,855.55." This case relates to the assessment of the estate duty of the estate of the late H. H. Rajkuverba Dowgar Maharani Saheb of Gondal who died on October 14, 1968, leaving behind extensive properties both in England and in India. The appellants are her two daughters and are accountable persons under the Act. It is not disputed that for death duty paid in the United Kingdom relief had already been afforded to the appellants by virtue of an agreement entered into between India and the United Kingdom for avoidance or relief of double taxation with respect to estate duty under section 30 of the Act. The contention, however, was that under section 48 of the Act this amount of est ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... spect of that property, he may, subject to such rules as may be made by the Board in this behalf, make an allowance of the whole or any part of the amount of that duty from the value of the property. Explanation. --- In this section, the expression ' non-reciprocating country ' means any country other than India which has not been declared to be a reciprocating country for the purposes of this Act." At this stage itself we may also note article VI of the Agreement for Avoidance of Double Taxation under section 30 of the Act entered into between the Government of India and the Government of the United Kingdom of Great Britain and Northern Ireland. It is as under : " Article VI. (1) Where one Contracting Government imposes duty on an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... enue and against the accountable persons. Mr. Sharma, learned counsel for the appellants, accountable persons, submitted that section 30 had nothing to do with the computation of income and that the scope of sections 30 and 48 was different. He said section 30 only provided for the avoidance or relief of double taxation with respect to estate duty leviable under the Act and under the corresponding law in force in a reciprocating country while section 48, provided for allowing any additional expense incurred in administering or realising property by reason of the property being situated out of India. According to Mr. Sharma, the estate duty paid in the U. K. would be an additional expense allowable under section 48 of the Act. We, however, d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 320.12 as the death duty paid in U. K. cannot be treated as an expense which the appellants are entitled to claim as an additional expense in administering or in realising the property falling under section 48 of the Act. The appellants are only entitled to deduction of the death duty paid in England out of the estate duty payable as computed by the authorities under the Act in this country. It is difficult to accept the argument of the appellant that relief granted by way of avoidance of double taxation is not a relief under the provisions of the Act and that there is a distinction between the relief under the agreement entered into by virtue of the provisions of section 30 and the relief to be given under section 48 of the Act. As regar ..... X X X X Extracts X X X X X X X X Extracts X X X X
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