under the term of the scheme the trustee has to effect a policy of insurance for the purpose of ensuring an annuity to every member of the society on his attaining the age of superannuation or on the happening of a specified companytin gency.
whether the deferred annuity aforesaid is an annuity hit by section 7 1 and para.
3333/ towards the premium payable by the respondent.
the income tax officer kozhikode circle in cluded the said amount in the taxable income of the respon dent for the year 1956 57 under s. 7 1 explanation 1 sub cl.
by its order dated december 1 1958 the tribunal submitted a statement of case referring the following three questions of law to the high companyrt of kerala at ernakulam whether the companytributions paid by the employer to the assessee under the terms of a trust deed in respect of a companytract for a deferred annuity on the life of the assessee is a perquisite as companytemplated by s. 7 1 of the indian income tax act?
appeal by special leave from the judgment and order dated january 9 1961 of the kerala high companyrt in i.t.r.
the commissioner of income tax has preferred the present appeal to this companyrt questioning the companyrectness of the said answers.
v of explanation 1 to s. 7 1 of the act.
v of the act.
the further appeal preferred to the income tax appellate tribunal received the same fate.
civil appellate jurisdiction civil appeal number 220/ 1963.
of explanation 1 thereto?
the society established a superan nuation scheme for the benefit of the male european members of the societys staff employed in india ceylon and africa by means of deferred annuities.
during the year 1956 57 the society company tributed rs.
whether the said companytributions were allowed to or due to the applicant by or from the employer in the accounting year?
the appeal preferred by the respondent against the said inclusion to the appellate assistant companymissioner of income tax kozhikode was dismissed.
the respondent did number appear.
on the third question it expressed the opinion that the legislature number having used the word deferred with annuity in s. 7 1 and the statute being a taxing one the deferred annuity would number be hit by para.
the terms of such benefits were incorporated in a trust deed dated july 27 1934.
the assessee thereupon filed an application under s. 66 1 of the act to the income tax appellate tribunal for stating a case to the high companyrt.
case number 17 of 1959.
every european employee of the society shall become a member of that scheme as a companydition of employment.
the judgment of the companyrt was delivered by subba rao j. this appeal by special leave preferred against the judgment of the high companyrt of kerala at ernakulam raises the question of the interpretation of s. 7 1 of the indian income tax act 1922 act number xi of 1922 hereinafter called the act.
the respondent l. w. russel is an employee of the english and scottish joint companyoperative wholesale society limited kozhikode hereinafter called the society which was incorporated in england.
n. rajagopal sastri and r. n. sachthey for the ap pellant.
april 1 1964.
the society companytributes 1/3 of the premium payable by such employee.
