1973 (3) TMI 55 - SUPREME COURT

Whether, on the facts and in the circumstances of the case, the properties settled by the deceased by the six deeds of settlement (two of them dated 26th June, 1951, and four of them dated 30th June, 1951) valued at ₹ 7,38,656 or any part thereof was not liable for inclusion in the estate of the deceased as property deemed to pass on his death ?

Held that:- The provisions for annual payments and maintenance made in the deeds as seen earlier are not charged on the properties settled. Hence the deceased cannot be said to have retained any interest in the properties settled. Therefore, it cannot be said that he retained any benefit either in the properties settled or in respect of their possession.

Hence, in our opinion, the facts of the case do not come within the scope of section 10. We, accordingly, allow the appeal of the assessee and hold that the value of the properties gifted or any part thereof is not able to be included in computing the value of the estate that passed on the death of the deceased. In this view, it is not necessary for us to consider the meaning of the word " extent " found in section 10