TaxTMI 
TaxTMI 
2007 (11) TMI 86
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.... will appointing one Mrs. Elsie F. Barnard, Mr. Robin Alexander Barnard and Mr. David Barnard, as executors, who were all residents of the United Kingdom. A. W. S. Barnard owned a residential house situated in Bangalore. As per the will, the executors were required to obtain probate of the will and thereafter sell the residential property and divide the sale proceeds and distribute the same to the three sons and a daughter of A. W. S. Barnard. After the death of A. W. S. Bar nard, the executors filed probate proceedings and obtained the probate by paying a court fee of Rs. 1,23,000 towards the letter of administration. Since the executors were residing in England, they were forced to come to India in order to settle the matter. The probate ....
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....missioner of Income-tax (Appeals), an appeal was filed before the Tribunal and the same has also been rejected. Against the concurrent findings of the authorities below, the present appeal is filed, raising the following substantial question of law : "Whether the assessee can claim deduction incurred by her while computing the capital gains under section 48(1) of the Income-tax Act towards the expenses incurred by the executors for legal and professional charges and court fee expenses ?" 3.We have heard learned counsel for the parties. 4. Sri Sarangan, senior counsel appearing for counsel for the appellant, contends that all the authorities did not consider the provisions of section 48(i) of the Income-tax Act properly. According t....
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....tion with the transfer of the said property. Similarly, he contends the court fee of Rs. 1,23,000 paid by the executors in order to obtain the letter of administration has to be treated as expenses incurred by the executors towards the transfer of property, since they could not have sold the property without obtaining such probate and the letter of administration. To support his view, he relied upon the judgment reported in CIT v. Miss Piroja C. Patel [2000] 242 ITR 582 (Bom) and requested the court to answer the question of law framed in favour of the assessee and set aside all the orders passed by the authorities below. 5 Per contra, learned counsel for the respondent contends that the authorities were justified in not considering the ....
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....ration. Therefore, the amount spent by the executors to obtain probate and letter of administration has to be treated as expenditure incurred to transfer the property. Similarly, without paying the court fee, no letter ct administration would be issued by the court. Therefore, Rs. 1,23,000 paid by the executors as court fee at the time of obtaining the letter of administration has to be treated as expenditure incurred in connection with the transfer of property. 8. Then the last question to be considered by us is, whether the amount spent by the executors to secure an order of eviction to evict unauthorised occupant has to be treated as expenditure in connection with the transfer of property? 9. The executors could have sold the prope....