1994 (4) TMI 55

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....me-tax Appellate Tribunal has referred the following question of law arising out of its order dated June 18, 1983, in respect of the assessment years 1977-78 to 1981-82 under section 256(1) of the Income-tax Act, 1961 : " Whether, on the facts and in the circumstances of the case, the Tribunal was justified in holding that the assessee had only contingent interest in the trust and did not have ....

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.... of Rs. 2 lakhs was settled by Bhagwat Singhji and the interest was to be accumulated and in the event of the appellant marrying, then after defraying the expenses the amount standing to the credit of the appellant was to be paid to her and until the marriage the appellant was not entitled to receive anything and the amount of interest was to be accumulated to the corpus of the trust fund, and, th....

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....ven prior to her marriage, but the Revenue has failed to produce any evidence in respect thereof. Since the contingent event in the present case was the marriage of the beneficiary it was held that the Appellate Assistant Commissioner has rightly held that the income is not assessable in the hands of the assessee. The arguments of learned counsel for the petitioner have been heard. In the prese....

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....attains the majority. The accumulated income, therefore, would be naturally, at the end of every year, capitalised and when available to the respective sharers, would be more in the nature of capital and, therefore, a corpus and it, therefore, loses its characteristic of being an income. " If the income is contingent on the happening of anything or any event, it cannot be said to have accrued t....