CONTROLLER OF ESTATE DUTY Vs. BADAMIA V G

JUDGEMENT

(1.) THE Tribunal has referred only one question of law to this Court for opinion under S. 64(1) of the ED Act, 1953. The question reads thus :

(2.) THE deceased had, during his lifetime, given a sum of Rs. 3,36,000 by way of gifts to his wife and sons including minor sons. The amounts were gifted in cash after he had withdrawn the money from his bank account. Subsequently, the amounts were deposited by the donees with M/s G. T. Badamia & Sons, then a proprietary concern of the deceased. The business was converted into a partnership consisting of the deceased having 9 annas share and his son, Valimohomed, having 7 annas share in the profits and losses w.e.f. 1st Jan., 1948.

(3.) UPON hearing the parties, the Tribunal passed the impugned order holding that its appellate order suffered from a mistake apparent on the face of the record in view of the two Supreme Court decisions . The Tribunal further held that the amount of Rs. 3,36,000 gifted by the deceased to his wife and sons including minor sons was not includible in the principal value of the estate of the deceased.