TMI Blog1976 (2) TMI 1X X X X Extracts X X X X X X X X Extracts X X X X ..... gment of the Court was delivered by JASWANT SINGH J.-- This appeal by special leave is directed against the judgment dated December 2, 1969, of the High Court of Rajasthan. Briefly stated the facts giving rise to this appeal are : Maharaja Shri Udebhan Singhji of Dholpur died issueless on October 22, 1954. On the day following his demise all the movable valuables possessed by him were taken over and sealed by the Government of Rajasthan because of the dispute regarding succession to the gaddi. On December 13, 1956, Maharaja Shri Hemant Singhji, the appellant herein, who was then a minor, was recognised by the Government of India as successor of the former Maharaja and the aforesaid assets which, inter alia, consisted of 4,825 gold so ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... but the same also proved abortive as the Tribunal was of the view that the expression "personal effects" meant such items of movable property as were necessary adjuncts to an individual's own personality and the nature of sale being voluntary or otherwise was irrelevant for the purpose of section 12B in view of the decision of this court in James Anderson v. Commissioner of Income-tax . The Tribunal, however, referred the following question of law at the instance of the appellant to the High Court of Rajasthan at Jodhpur under section 66(1) of the Act : " Whether, on the facts and in the circumstances of the case, the assets sold were capital assets within the meaning of section 2(4A) chargeable to capital gains tax under section 12B of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... legislature intended to lay emphasis on the nature of the use of the article rather than on the person of the assessee. Mr. B. B. Ahuja appearing for the revenue has, on the other hand, urged that the interpretation sought to be placed on behalf of the assessee on the expression "personal effects" is not correct and while determining whether the effects are personal, it is essential to see whether they are meant for the personal use of the assessee. We have given our earnest consideration to the submissions of learned counsel for the parties. For a proper decision of the point in question, it is necessary to refer to section 2(4A) of the Act, the relevant portion whereof runs thus : " 2(4A) 'Capital asset' means property of any ki ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... urth Edition, at page 1301 the expression is assigned the following meaning : " Personal effects, articles associated with person, as property having more or less intimate relation to person of possessor. " In Cyclopaedic Law Dictionary, Third Edition, at page 832, the expression "personal effects" without qualifying words is interpreted to include generally such tangible property as is worn or carried about the person. In "Words and Phrases" (permanent edition), volume 32, at page 277, it is stated that the words "personal effects" when used without qualification, generally include such tangible property as is worn or carried about the person, or to designate articles associated with the person. At another place at the same page, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... payable by an assessee in respect of the following assets, and such assets shall not be included in the net wealth of the assessee--... (viii) furniture, household utensils, wearing apparel, provisions and other articles intended for the personal or household use of the assessee but not including jewellery. " In G. S. Poddar v. Commissioner of Wealth-tax, where the assessee at the time of his appointment in the year 1945 as a Justice of the Peace was presented with two gold caskets, a gold tray, two gold glasses, a gold cup, saucer and spoons, and photo frames as souvenirs by the dealers and brokers in cloth with whose business he was connected and he kept these articles in a glass show case for display in his drawing room and in ass ..... X X X X Extracts X X X X X X X X Extracts X X X X
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