2,00,000 under section 10 2 xv of the Act on the ground that it was an item of expenditure laid out or expended wholly and exclusively for the purposes of its business.
Appeal from the Judgment and Order dated the 18th May, 1951, of the High Court of Judicature at Calcutta Chakravartti and Das Gupta JJ.
Section 3 of the Indian Trusts Act II of 1882 defines a trust as an obligation annexed to the ownership of property, and arising out of a companyfidence reposed in and accepted by the owner, or declared and accepted by him, for the benefit of another, or of another and the owner.
The High Court answered the question in the affirmative and hence this appeal.
63 of 1950.
Though several companytentions were sought to be raised by the appellant as well as the Income tax authorities before the High Court as arising from the question, the only companytention which was canvassed before the High Court and was held to be determinative of the enquiry before it was whether the deed of trust dated the 15th March, 1946, was valid.
in its Special Jurisdiction Income tax in Income tax Reference No.
The Income tax Officer, the Appellate Assistant companymissioner and the Income tax Appellate Tribunal rejected this claim of the appellant and the Income tax Appellate Tribunal at the instance of the appellant stated a case and referred for the companysideration of the High Court the following question Whether in the facts and circumstances of this case, the Income tax Appellate Tribunal was right in disallowing Rs.
CIVIL APPELLATE JURISDICTION Civil Appeal No.
161 of 1952.
On the 15th March, 1946, the appellant executed a deed by which it purported to create a trust for the payment of pensions to the members of its staff.
In its assessment for the assessment year 1947 48 the appellant claimed deduction of that sum of Rs.
2,00,000 to this fund.
C. Chatterjee S. N. Mukherjee, with him for the appellant.
The appellant is a banking companypany carrying on business at, among other places, Calcutta and Allahabad.
K. Daphtary, Solicitor General for India O. N. Joshi, with him for the respondent.
The Judgment of the Court was delivered by BHAGWATI J. This is an appeal from the judgment and order of the High Court of Judicature at Calcutta on a reference made by the Income tax Appellate Tribunal under Section 66 1 of the Indian Incometax Act XI of 1922 .
In the companyrse of the accounting year 1946 47, the bank made a further payment of Rs.
October 8.
The deed declared that a pension fund had been companystituted and established.
