CONTROLLER OF ESTATE DUTY Vs. DEVI PRASAD

JUDGEMENT

(1.) BY a statement dated 19th August, 1976, the Income-tax Appellate Tribunal, Allahabad Bench, Allahabad, has referred the following questions for the opinion of this court. Four separate applications were filed under Section 64(1) of the E.D. Act, 1953, two on behalf of the Controller of Estate Duty, and two on behalf of the accountable person. The questions are these :

(2.) ONE Ganga Prasad Kanudia expired on July 1, 1968. The dispute in the present case relates to the estate left by him. There was a Hindu undivided family (hereinafter " the HUF ") consisting of the deceased and bis sons, as well as two grandsons. The HUF was carrying on business as a firm. On June 27, 1968, Ganga Prasad Kanudia relinquished his interest in the firm for a consideration of Rs. 1,75,000. The transaction was recorded in a declaration dated June 28, 1968, which was executed before the notary public, and the relevant portion whereof read thus:

(3.) IN view of the decision of the Supreme Court, we answer the first question in the negative, against the accountable person and in favour of the Controller.