TMI Blog1964 (12) TMI 65X X X X Extracts X X X X X X X X Extracts X X X X ..... 1(1) of the Act. The facts of the case are as follows: Sri Rajendra Nath Dutt executed a will dated 6th August, 1892, under which he created, inter alia, a trust in respect of several houses and godowns including the tenanted houses at No. 10, Convent Road, and No. 62, Dharamtolla Street, Calcutta. This settlement of trust was made to ensure due performance of certain religious festivals and ceremonies and poojas of certain deities. At the material period the applicants were the trustees to the estate of the late Sri Rajendra Nath Dutt for each of the assessment years 1952-53 and 1953-54. The applicants were assessed to a total income of ₹ 7,973 being the rental income from the house property at No. 10, Convent Road, Calcutta, and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... by consent of the parties, has been made an annexure to the statement of the case. The main contention of Dr. Pal is that the assessed income of ₹ 7,973, being the rental income from the house property at No. 10, Convent Road, Calcutta, and 62, Dharamtolla Street, Calcutta, and ground rent, etc., should not be taxed in the hands of the trustees at the maximum rate under the first proviso to section 41(1) on the ground that the said proviso has no application in the instant case, inasmuch as the shares of the persons for whom the said income was received by the trustees are definite specified amounts. According to him, the tax shall be leviable at the maximum rate when the shares of the beneficiaries in the income of the trust prope ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... by also direct my trustees to set apart surplus (if any) of the rents and profits of the aforesaid houses, godowns and lands as a reserve fund to provide against any deficiency in the said rents and profits for the purpose aforesaid owing to any of the houses and premises remaining unlet or unproductive for any time, and to apply the said reserve fund or so much thereof as may be required for any of the purposes aforesaid provided always that when from time to time the said reserve fund shall be in the opinion of the trustees in excess of the amount required as such reserve fund the trustees shall spend the excess surplus of the said fund for the performance of the worship of the Shiva on the night called Shivaratri and feed the Brahmins in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ntire reserve fund in a particular year for the worship of the Shiva and for feeding and paying the Brahmins and nothing might be left in the reserve fund for making payment of the fixed amounts payable to the deities in the event of any deficiency in the rents and profits of the endowed property in future owing to any of the houses and premises remaining unlet or unproductive for any time. In the latter case, the payment of the specified amounts may have to be reduced proportionately. Therefore, a situation may arise under the deed when the fixed amount payable to the beneficiaries may cease to be fixed. In any event the amount accumulated in the reserve fund and the portion allotted by the trustees under their discretion for the worshi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e fraction or proportion in relation to the income of a property or it may mean a definite part or portion of the income. The dictionary meaning of the word as set out in Murray's New English Dictionary, vol. VIII, is as follows: A part or portion (of something) which is allotted or belongs to an individual, when distribution is made among a number. Etymologically the word share comes from the word shear which means a piece hewn out or cut or torn away. Following the etymological meaning and accepting the aforesaid dictionary meaning, in our opinion, in the context in which the word has been used in the first proviso to section 41(1), the word shares means and includes a specific, definite part or portion of the income o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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