1997 (12) TMI 95

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....rder of the Tribunal made in I. T. A. No. 1623 (Ahd) of 1973-74 decided on July 24, 1975. "1. Whether, on the facts and in the circumstances of the case, the Tribunal was justified in law in holding that the sum of Rs. 53,122 received by the assessee from various discretionary trusts could not be taxed in the hands of the assessee under section 166 of the Income-tax Act? 2. If the answer to ques....

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....it was not necessary to answer question No. 2. The Revenue approached the Supreme Court by way of Civil Appeal No. 2150 of 1978 (CIT v. Bharti Devi Sarabhai [1998] 231 ITR 526) against the said decision and the Supreme Court, by its order dated February 8, 1996, taking note of the fact that the decision which was relied on by the High Court in answering the first question in favour of the assesse....

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....done in the present case and the matter was carried to the Supreme Court in Civil Appeals Nos. 2154 of 1978 and 2157 of 1978 (CIT v. D. Anand Sarabhai and Executors and Trustees of Estate of Dr. Vikram Sarabhai [1998] 231 ITR 524) and the Supreme Court, by its order dated February 7, 1996, reversing the judgment of the High Court on its opinion on question No. 1, held that the Revenue had the opti....

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....d the Division Bench, by its decision dated February 26, 1997, answered question No. 2 in the affirmative against the Revenue and in favour of the assessee, in both the references. It was held that the amount of the dividend income received by the trustees which was allowable for deduction under section 80K, when passed on to the beneficiary, would none the less be eligible to the same deduction. ....