1984 (1) TMI 38

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....oney-lending business transferring the amount in favour of the donee. The amount remained in the said business thereafter to the credit of the donee till the death of the deceased. On February 12, 1956, the deceased adopted the donee as his son, after which the business was carried on by a HUF consisting of the deceased and the donee. In assessing estate duty, the Assistant Controller of Estate Duty held that as the deceased was a coparcener and the karta of the HUF, he was not entirely excluded from the possession and enjoyment of the amount of the gift. He also found that the loan was carrying interest at the rate of 4.1/2% which was lower than the usual market rate. He concluded that bona fide possession and enjoyment of the property ....

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....955, to Hulaschand Baid was not liable to be included in the estate of the deceased under the provisions of s. 10 of the E.D. Act, 1953 " ? At the hearing, learned counsel for the Revenue submitted that the gift in question was made in favour of the adopted son and the money remained throughout in the books of the family under control of the donor, the karta. It was not a fact that the donee enjoyed the amount to the entire exclusion of the donor. Learned counsel for the accountable person contended to the contrary and submitted that the gift being a gift of a movable asset, i.e., money, remained invested for the purpose of earning interest and, in fact, earned interest and, therefore, could not be included in the estate of the deceas....