Construction of will upheld absolute interest in mill properties, making the full estate dutiable on death.

A will was construed as conferring absolute and unfettered rights over the mill properties on the widow, including sole proprietorship of the mills and exclusion of any sons' rights during her lifetime. Restrictive words against disposal or partition were treated as insufficient to narrow the clear absolute gift. On that basis, the deceased's interest in the property ceased on death, and because that interest extended to the whole income from the mills, the full mill assets were said to fall within the dutiable estate under the estate duty provisions. The view that only a one-eighth share was includible was rejected.

---

---

Issues: Whether, on a proper construction of the will, the deceased took an absolute interest in the mill properties and whether, on her death, the entire mill assets were liable to be included in the dutiable estate under the Estate Duty Act.

Analysis: The will was read as a whole, and the clauses conferring absolute rights over all properties, describing the widow as sole proprietrix of the mills, and excluding any right in the sons during her lifetime were held to show an absolute and unfettered interest in favour of the deceased. The restrictions on disposal during lifetime and on partition were treated as insufficient to cut down the clear absolute gift. On the statutory scheme, the deceased had an interest in the property that ceased on death, and that interest extended to the whole income from the mills, so the resulting benefit to the sons fell within sections 7(1) and 40(a). The Tribunal's view that only one-eighth share was includible was rejected.

Conclusion: The will conferred absolute rights on the deceased, and the entirety of the mill assets was includible in the dutiable estate; the questions were answered against the accountable person and in favour of the revenue.

Ratio Decidendi: Where a will confers absolute rights and sole proprietorship over property, later restrictive words that are not clear or decisive do not cut down the absolute gift, and if the deceased's interest extends to the whole income, the full property value is includible under the estate duty provisions on cesser of that interest.

---