COMMISSIONER OF INCOME TAX Vs. P P CONTRACTOR

JUDGEMENT

(1.) THE Income -tax Appellate Tribunal has referred the following six questions to this court under section 256(1) of the Income -tax Act, 1961 :

(2.) QUESTIONS Nos. 1 to 5 have been referred at the instance of the Revenue and question No. 6 has been referred at the instance of the assessee.

(3.) AS stated earlier, the Tribunal decided on the merits that only one -half of the income of the trust property can be taxed in the hands of the assessee. Though that finding is under challenge in this reference, now in view of the decision of this court in CIT v. P. P. Contractor (the assessee himself) : [1991]192ITR261(Guj) we need not state the facts or set out the contentions raised on behalf of the Revenue. In that decision, it has been held by this court that the assessee was within his right in executing the deed of assignment on December 6, 1951, transferring or assigning his right, title and interest in half of the income from the residuary property in favour of his children. Hence, the assessee was liable to be assessed only in respect of half of the income derived from the residuary property. Since we are taking this view on the merits of the case, all other questions become academic and they need not be answered. We, therefore, decline to answer questions Nos. 1, 2, 3, 4 and 6. Question No. 5 is answered in the affirmative, that is, against the Revenue and in favour of the assessee. Reference is disposed of accordingly. No order as to costs.