TMI Blog2002 (10) TMI 25X X X X Extracts X X X X X X X X Extracts X X X X ..... , with effect from April 1, 1985, and was applicable during the assessment year 1985-86. - Having regard to the clear language of the provision, the whole of the income derived from the trust from the business it carried on, is liable to be taxed at the maximum marginal rate. The decision of the Bombay High Court relied on by the Tribunal in the case of CIT v. Marsons Beneficiary Trust, was a deci ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sed as association of persons at the maximum marginal rate, rejecting the claim that the assessment should only be in the hands of the beneficiaries as they were known and the shares were definite. That order was affirmed in appeal, but reversed on further appeal, by the Tribunal. Sub-section (1A) was introduced in section 161 of the Income-tax Act, 1961, with effect from April 1, 1985, and was ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e provision, the whole of the income derived from the trust from the business it carried on, is liable to be taxed at the maximum marginal rate. The decision of the Bombay High Court relied on by the Tribunal in the case of CIT v. Marsons Beneficiary Trust [1991] 188 ITR 224, was a decision which concerned the assessment year prior to the year in which sub-section (1A) was introduced to section 16 ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
