Strict construction of UN tax exemption bars widow's pension from relief under the privileges and immunities law.

Pension paid by the United Nations Joint Staff Pension Fund to the widow of a deceased official was held not to fall within the exemption in clause (b) of section 18 of the United Nations (Privileges and Immunities) Act, 1947, because that provision applies only to salaries and emoluments paid by the United Nations to its officials. The payment was made to the beneficiary in her own capacity, and no legal fiction could extend the exemption to a widow absent express statutory language. Exemption provisions being exceptions to the charging rule were construed strictly, so the claim for relief failed.

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Issues: Whether pension received by the widow of a deceased United Nations official from the United Nations Joint Staff Pension Fund was exempt from tax under clause (b) of section 18 of the United Nations (Privileges and Immunities) Act, 1947.

Analysis: The exemption under clause (b) of section 18 applies only to salaries and emoluments paid by the United Nations to its officials. The payment in question was made to the assessee in her capacity as widow and not to the deceased official himself. The payment could not be treated as one made to the official by any legal fiction, and exemption provisions being exceptions to the charging rule require strict construction. Prior decisions concerning pension paid to retired officials did not govern a case where the beneficiary was a widow and not the official.

Conclusion: The widow's pension was not exempt from tax under section 18(b) of the United Nations (Privileges and Immunities) Act, 1947, and the decision was against the assessee.

Final Conclusion: The Tribunal held that only salaries and emoluments paid to United Nations officials are covered by the exemption, and amounts paid to a widow as beneficiary do not qualify for relief.

Ratio Decidendi: An exemption confined to salaries and emoluments paid to United Nations officials cannot be extended to pension paid to a widow of a deceased official in the absence of an express statutory fiction treating such payment as made to the official.

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