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TMI Blog1990 (4) TMI 89X X X X Extracts X X X X X X X X Extracts X X X X ..... Act, 1961, as per the provisions of s. 33(2) of the ED Act read with notification No GSR 513 dt. 29th April, 1980. 3. It would appear that donations amounting to Rs. 83,185 were made to the institutions referred to in s. 10(22) of the IT Act in respect of which complete exemption was claimed before the Revenue authorities under s. 33 (2) of the ED Act. Both the ACED as well as the CED(A) took the stand that only properties mentioned in s. 34(1)(A) of the ED Act were fully exempted and all other properties would have to be included in the property passing on death for the purpose of calculating the rate of duty. It is against this finding that the present appeal has been filed before the Tribunal. 4. Sec. 33(1) of the ED Act enumerate ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o made should be included in the property passing on death for rate purposes'. 6. While challenging this finding of the CED(A), Shri Sarkari argued that property is aggregated in s. 34 of the ED Act only if the estate duty was leviable and, therefore, the property in which estate duty was not chargeable or which was exempt form estate duty, was also exempt from aggregation. 7. The short question for consideration is whether the donations made to the approved institutions would come for aggregation under s. 34(1)(A) of the ED Act where the exemption conferred by the Notification would be in the nature of double exemption or where it would be interpreted as 'exemption restricted to calculating the rate'. 8. The departmental represent ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e carefully considered the submissions made in this behalf by Shri Sarkari. Sec. 33(1) of the ED Act enumerates special types of properties like house hold goods, books, wearing apparel, works of art, heir-looms, which are exempt from estate duty in the sense that the principal value of these properties is not to be included even for determining the rate of estate duty. The exemption under s. 33(2), however, has to be interpreted with reference to the language used in the notification issued from time to time. We find that the relevant notification for the present purpose is Notification No. GSR 513 dt. 29th April, 1980. This notification is in connection with relief to properties bequeathed to educational institutions and hospitals. The ex ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a Hindu family governed by Mitakshara, etc. This would mean that the property, which is to be treated as exempt from estate duty under s. 33, is to be included for the purpose of aggregation. However, on such property, estate duty will not be leviable. Sub-s. (2) provides that the estate duty leviable on the property not exempt shall be calculated on a proportionate basis. This by implication would mean that the term "the property exempt from estate duty" which as we have seen while considering the Explanation to the section means property which is exempt from estate duty under s. 33, is a property on which exemption to the extent provided in the notification issued under s. 33(2) of the Act has to be granted. The extent of exemption allow ..... X X X X Extracts X X X X X X X X Extracts X X X X
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