TaxTMI 
TaxTMI 
1979 (1) TMI 17
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....n, of the amount of gift of Rs. 50,000 together with its accretions for each of the two years ? " The assessee, Shri Manilal C. Desai of Indore, is an individual and the assessment years involved are 1962-63 and 1963-64. The assessee had share in the firm, Manilal C. Desai and Sons. In the books of the firm there are also accounts in the names of the assessee's wife and his mother. The mother of the assessee died on or about 27th May, 1956, and after her death a sum of Rs. 52,466 standing to her credit was transferred to the account of the assessee's wife. On June 27, 1958, two credits of Rs. 25,000 each were made to the assessee's two grandsons, Prateshkumar and Lalithkumar, and these gifts by the wife were incorporated in writing in a gi....
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....deleted the amount of Rs. 66,500 and Rs. 73,000 for the years under appeal. The Appellate Tribunal in regard to the question of gift made by the wife in favour of her two grandsons held that the assessee had signed as one of the attesting witnesses to the gift deed dated June 27, 1958, though the wife of the assessee was only a benamidar in respect of the amounts standing in her name ; the assessee having authorized her to make a gift, it may be said that the assessee himself had made the gifts. Thus, the amount of Rs. 50,000 would, therefore, be excluded from the net wealth of the assessee along with interest accrued thereon. Aggrieved by this decision, the CWT sought a reference and at his instance the present reference has been made. A....