https://www.taxtmi.com/caselaws?id=276865 Settlement deeds that merely directed partnership profits to a wife and daughters, without transferring the underlying asset or source of income, were analysed as an assignment of income rather than a diversion by overriding title. The text explains that section 16(1)(c) of the Income-tax Act, 1922, distinguishes a true transfer of the source from a voluntary disposition of income, so taxability depends on the general charging provisions and the nature of the arrangement. It also notes that section 16(3) supports aggregation where a transfer of assets is involved. On the stated facts, the settled profits remained includible in the assessee's total income. en-us Thu, 21 Jul 1955 00:00:00 +0530 Mon, 19 Nov 2018 17:03:31 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=276865 Settlement deeds that merely directed partnership profits to a wife and daughters, without transferring the underlying asset or source of income, were analysed as an assignment of income rather than a diversion by overriding title. The text explains that section 16(1)(c) of the Income-tax Act, 1922, distinguishes a true transfer of the source from a voluntary disposition of income, so taxability depends on the general charging provisions and the nature of the arrangement. It also notes that section 16(3) supports aggregation where a transfer of assets is involved. On the stated facts, the settled profits remained includible in the assessee's total income. Case-Laws Income Tax Thu, 21 Jul 1955 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=276865