Hegde, J. - (1.) Both these appeals arise from the decision of the Calcutta High Court in a Reference under Sec-66 (1) of the Indian Income Tax Act, 1922 (to be hereinafter referred to as 'the Act'). The first of these two appeals was brought by the appellant Trust on the strength of a certificate granted by the High Court under Section 66 (A) (2) of the Act. In that certificate all that we find is a bald statement by the High Court that the case is a fit one for appeal to this Court. This Court has ruled that such a certificate is an invalid one and an appeal brought on the strength of such a certificate is not maintainable. It is for that reason, the appellant filed the Special Leave application No. 2214 of 1971 seeking special leave from this Court to appeal against very judgment which was the subject matter of the appeal in Civil Appeal No. 1885 of 1968. After hearing the parties, we came to the conclusion that the leave asked for should be granted. That Petition is now numbered as Civil Appeal No. 1084 of 1971.
(2.) The two questions referred to the High Court are: "(1) Whether on the facts and in the circumstances of the case, the Tribunal was right in holding that the gift made by Sardar Ajaib Singh was valid and complete in law (2) If the answer to the first question is in the affirmative then whether on the facts and in the circumstances of the case, the assessee was entitled to the refund of tax deducted at source on the dividents accruing on the shares gifted by Sardar Ajaib Singh - The High Court answered these questions as follows: "(1) The gift made by Sardar Ajaib Singh was a valid and complete gift but did not have the effect of augmenting the assessee trust, and (2) The assessee was not entitled to the refund of the tax deducted at source on dividends accrued on the shares gifted by Sirdar Ajaib Singh."
(3.) Now let us turn to the facts as set out in the Statement of case. The assessment years with which we are concerned in these appeals is 1960-61, for which the relevant previous year ended on March 31, 1960. The assessee is charitable Trust constituted under a Trust Deed dated December 19, 1944. A supplementary Trust Deed was executed on January 10, 1951. In the first Trust Deed, the objects of the trust are mentioned as those that "Trustees may in their absolute discretion from time to time determine in and towards the attainment assistance or support of such charitable purpose or purposes as the Trustees may in their unfettered judgment deem to be the most deserving of support." The objects mentioned in the first deed were further elaborated in the second deed which requires the Trustees to spend the income "amongst others for the advancement of learning and education and/or ameliorations of the sufferings of all citizens of the Indian Union, irrespective of caste, colour or creed for maintaining library or libraries for the free use of the public in general who are residents of the Indian Union for fostering encouraging and providing the means of healthy recreation including teaching or singing classes or choruses for the residents of the Indian Union and for the purpose of providing music and instruments for the town and in the premises hereinbefore mentioned for meeting the expenses wholly or in part of the Khalsa High School and A. V. Middle Schools to the extent and for and during such times as long as the trust continues and/or to apply such income in similar such objects as the trustees may in their absolute discretion from time to time determine in and towards the attainment assistance and support of such charitable purpose or purposes as the Trustees may in their unfettered judgment deem to be the most deserving of support.";