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1994 (11) TMI 131 - SUPREME COURTWhether section 34(1)(c) of the Estate Duty Act, 1953, was not violative of article 14 of the Constitution? Held that:- For determining that rate the interests of all the lineal descendants of the deceased in the joint Hindu family property are to be aggregated so as to form one estate and estate duty is to be levied at the rate applicable to the principal value thereof. Sub-section (2) of section 34 is put somewhat clumsily. It uses the expression "property exempt from duty" and its Explanation defines the expression to include the interests of all coparceners, other than the deceased, in the joint family property. Where, therefore, the estate referred to in clause (c) of sub-section (1) of section 34 includes the interests of coparceners other than the deceased, which is the property exempt from estate duty, the estate duty leviable on the property not exempt, i.e., on the interest of the deceased, shall be calculated by application of this formula : what is the proportion of the value of the property not exempt to the value of estate : that proportion of the amount payable on the estate is payable on the interest of the deceased. We see, therefore, no merit in the contention that section 34(1)(c) is violative of article 14 or that it is unconstitutional on that account.
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