1982 (8) TMI 41

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....the Indian I.T. Act, 1922, the following question has been referred to this court : " 1. Whether, on the facts and in the circumstances of the case, there was a valid gift on March 28, 1957, to Bai Kamala and Bai Indu so as to justify allowance of interest claimed with respect to the amounts credited to their account on the said date for the assessment years 1957-58 and 1958-59 ? " In order ....

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...., 1957, and February 16, 1958, to Bai Kamala and Bai Indu respectively. It was on these two dates the donees withdrew the amounts. Consistently with this conclusion the ITO held that the interest of Rs 150, claimed for the assessment year 1957-58, could not be allowed as deduction as the relevant gift took place subsequent to this year. In the assessment for the assessment year 1958-59, the ITO he....

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....erest. We may incidentally refer to the relevant observations of the Tribunal in its order. The Tribunal observed in para. 12 of its order, which is given in the statement of case in the paper books, that it appeared to the Tribunal in that case that there was a valid gift on March 28, 1957, and the document was executed before the notary public and the donees simultaneously agreed to keep the amo....

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....r was disposed of. The decision of this court is CGT v. Tarachand Meghraj [1977] 109 ITR 775 (Cal). On behalf of the Revenue, before us, our attention was drawn to this decision and a reference was made to the document which had been set out at p. 777 of the said decision wherein the purpose of the gift was mentioned. This reference was answered in favour of the assessee and it was held that the T....