https://www.taxtmi.com/caselaws?id=36426 Interest accrued on amounts gifted by a deceased to donees, and later treated as debts payable by the estate, was deductible from the estate duty computation. Section 44(a) allowed deduction of bona fide debts incurred for full consideration in money or money's worth and wholly for the deceased's own use and benefit, while section 46(1) imposed only a limited abatement where the consideration consisted of property derived from the deceased. That limitation applied to the property actually disposed of by the deceased and did not extend to income earned on it. The accrued interest was not property derived from the deceased, and section 16(2)(c) did not apply because the interest was not an annuity or periodical payment under the disposition. en-us Thu, 27 Jul 1978 00:00:00 +0530 Mon, 22 Mar 2010 12:43:40 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=36426 Interest accrued on amounts gifted by a deceased to donees, and later treated as debts payable by the estate, was deductible from the estate duty computation. Section 44(a) allowed deduction of bona fide debts incurred for full consideration in money or money's worth and wholly for the deceased's own use and benefit, while section 46(1) imposed only a limited abatement where the consideration consisted of property derived from the deceased. That limitation applied to the property actually disposed of by the deceased and did not extend to income earned on it. The accrued interest was not property derived from the deceased, and section 16(2)(c) did not apply because the interest was not an annuity or periodical payment under the disposition. Case-Laws Income Tax Thu, 27 Jul 1978 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=36426