RASH MOHAN CHATTERJEE Vs. CONTROLLER OF ESTATE DUTY W BENGAL
LAWS(CAL)-1963-9-2
HIGH COURT OF CALCUTTA
Decided on September 18,1963

RASH MOHAN CHATTERJEE Appellant
VERSUS
CONTROLLER OF ESTATE DUTY, W.BENGAL Respondents


Referred Judgements :-

LORD ADVOCATE V. STEWART [REFERRED TO]
ATTORNEY GENERAL V. SECCOMBE [REFERRED TO]
COMMR.FOR STAMP DUTIES,NEW SOUTH WALES V. PERPETUAL TRUSTEE CO. [REFERRED TO]
MUNRO V. COMMR OF STAMP DUTIES [REFERRED TO]
LANG V. WEBB [REFERRED TO]
REVENUE COMMR. V. O.DONOHOE [REFERRED TO]
ST.AUBYN V. ATTORNEY GENERAL [REFERRED TO]
STAMP DUTIES COMMR.OF NEW SOUTH WALES V. PERMANENT TRUSTEE CO.OF NEW SOUTH WALES [REFERRED TO]
CHICK V. COMMR.OF STAMP DUTIES OF NEW SOUTH WALES [REFERRED TO]



Cited Judgements :-

PRAN KRISHNA DAS VS. CONTROLLER OF ESTATE DUTY WEST BENGAL CALCUTTA [LAWS(CAL)-1967-8-16] [REFERRED TO]
L JOSE KANNAMPILLY VS. CONTROLLER OF ESTATE DUTY KERALA ERNAKULAM [LAWS(KER)-1968-10-28] [REFERRED TO]
JOSE KANNAMPILLY L VS. CONTROLLER OF ESTATE DUTY [LAWS(KER)-1968-10-20] [REFERRED TO]


JUDGEMENT

Sankar Prasad Mitra, J. - (1.)This is a reference under Section 64 (1) of the Estate Duty Act, 1953. It relates to the Assessment of Estate duty on the accountable persons of the estate of Ratan Mohan Chatterjee, who died on the 11th July, 1959. The deceased was the absolute owner, inter alia, of premises No. 1, Queens Park, Calcutta. On July 1, 1954, he gifted this property by way of settlement on four trustees namely Rash Mohan Chatterjee, Loke Mohan Chatterjee, Asoke Kumar Banerjee and P.K. Ghose for the objects mentioned in the Indenture of Trust. The trustees were to hold the property for the absolute use and benefit of the deceased's two sons, Rash Mohan Chatterjee and Loke Mohan Chatterjee, in equal shares during their respective lives and upon the death of any of or both the sons, to be held for the use of the wife or wives of such son or sons with remainder to the male children of the two sons in equal share per stirpes. Provision had been made in the deed of settlement empowering the trustees to grant, amongst other things, lease of the trust property as they thought fit.
(2.)On the 2nd July, 1954, the trustees leased out the upper portion of the premises to the settlor Ratan Mohan Chatterjee on a monthly rental of Rs. 150/- for a period of five years. The lease was to take effect from the 1st July, 1954, i.e. from the same date as the date of the gift itself. The lease expired on the 30th June, 1959, and as stated above, the deceased died 11 days thereafter, on the 11th July, 1959. The said property continued to be occupied by the deceased as a continuing tenant for the last 11 days of his life.
(3.)Before the Assistant Controller of Estate Duty two alternative contentions were raised on behalf of the accountable persons. The first contention was that no part of the property could be deemed to pass under Section 10 of the Estate Duty Act. The alternative contention was that only the upper portion of the house could be deemed to pass. The Assistant Controller rejected both the contentions. He took the view that the entire property did pass on the donor's death because continued possession and enjoyment of the property was not immediately assumed by the donees and thenceforward retained to the entire exclusion of the donor or to the entire exclusion of any benefit to him by contract or otherwise.


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