Contribution to recognised provident fund - Trustees of funds allowed to make provision that payment to nominee will be sufficient discharge of liabilities - Clause (iv) of sub-section (1) read with rules 67A and 101A of Income-tax Rules
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Nominee entitlement: payment to nominee can discharge trustees' liabilities, permitting recognition of trust deeds if rules satisfied. Trustees of recognised provident funds may include a clause that payment to the nominee or nominees constitutes sufficient discharge of the trustees' liabilities; nominees are entitled to receive the subscriber's balance without automatic requirement of probate or letters of administration, though trustees may require a grant of representation if they deem it necessary; trust deeds with such a payment-discharge provision should not be refused recognition if other rule conditions are satisfied.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Nominee entitlement: payment to nominee can discharge trustees' liabilities, permitting recognition of trust deeds if rules satisfied.
Trustees of recognised provident funds may include a clause that payment to the nominee or nominees constitutes sufficient discharge of the trustees' liabilities; nominees are entitled to receive the subscriber's balance without automatic requirement of probate or letters of administration, though trustees may require a grant of representation if they deem it necessary; trust deeds with such a payment-discharge provision should not be refused recognition if other rule conditions are satisfied.
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