Predominant charitable purpose preserves wakf tax exemption despite limited support for poor relatives and descendants.

A wakf remains exempt from tax where, construed as a whole, its primary and predominant object is public charity under section 4(3)(i) of the Indian Income-tax Act, 1922. The deed's main purposes were relief to the poor and other charitable objects, including feeding the poor, wells, mosques, schools and a musaffirkhana. A limited provision for support and marriage expenses of poor relatives and descendants did not convert the wakf into a private trust, because it operated only as an ancillary part of a broader charitable scheme and was confined to indigent beneficiaries. The wakf therefore retained its charitable character and the income remained exempt.

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Issues: Whether the wakf income was exempt from taxation under section 4(3)(i) of the Indian Income-tax Act, 1922 on a proper construction of the wakf deed, notwithstanding the provision permitting support and marriage expenses of poor relatives and descendants of the wakif.

Analysis: The deed, read as a whole, showed a predominantly charitable purpose. Its main objects were relief to the poor and other public charitable purposes such as feeding the poor, wells, mosques, schools and a musaffirkhana. The provision for poor relatives and descendants did not convert the wakf into a private trust, because it operated only as one part of a larger charitable scheme and was directed to indigent persons. The dominant character of the wakf remained one of public charity, and the limited benefit to relatives did not destroy the exemption.

Conclusion: The wakf income was exempt under section 4(3)(i) of the Indian Income-tax Act, 1922, and the answer to the reference was in the affirmative, in favour of the assessee.

Ratio Decidendi: A trust or wakf remains charitable for income-tax exemption if, on a construction of the instrument as a whole, its primary and predominant object is public charity, and an ancillary benefit to poor relatives does not negate the public charitable character.

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