ANARKALI SARABHAI Vs. COMMISSIONER OF GIFT TAX

JUDGEMENT

(1.) At the instance of the assessee as well at the instance of the revenue, the following questions of law are referred to us for our decision in respect of the assessment year 1976-77 : At the instance of the assessee :

(2.) In Second Appeal before the Tribunal the Tribunal held that since the power of appointment had been exercised in favour of a person other than donee of the power there was a transfer which must have been taken place in the accounting year when the power was exercised. On the question of valuation of the gift there was some ambiguity in the order dated 10/6/1985 which came to be clarified by the Tribunal in Misc.Civil Application filed by the assessee. We will refer to the said aspect when we will discuss question no.4 which is referred to us at the instance of the revenue.

(3.) Before dealing with the question nos. 1 to 3 referred to us at the instance of the assessee, it is necessary to set out the following clause in the trust deed dated 30/3/1960.