K.S Hegde, J. - (1.) This appeal by certificate arises from the judgment of the Andhra Pradesh High Court rendered in its advisory jurisdiction on a case stated by the Income-tax Appellate Tribunal, Hyderabad Bench under Section 26 (1) of the Gift-tax Act, 1958 (to be hereinafter referred to as the 'Act'). The question referred for the opinion of the High Court was:"Whether the declaration by which the assessee has impressed the character of joint Hindu family property on the self-acquired properties owned by him amounts to a transfer so as to attract the provisions of the Gift-tax Act."
(2.) The High Court following its earlier decision in Commr. of Gift-tax vs. C. Satyanarayanamurthy (1965) 56 ITR 353; answered that question in the affirmative.
(3.) The material facts as could be gathered from the statement of the case submitted to the High Court are as follows:;