DESAI, J. - (1.) THE question that arises for our decision on this reference is : 'Whether there was material for the Tribunal to hold that the sum of Rs. 35,807 granted to the assessee was a maintainace allowance exempt within the meaning of paragraph 15(i) of the Part B States (Taxation Concessions) Order, 1950 ?'
(2.) IN order to bring out the real dispute between the parties we re -formulated is as under : 'Whether on the facts and circumstances of the case the sum of Rs. 35,807 granted to the assessee was a maintenance allowance exempt within the meaning of paragraph 15(i) of the Part B States (Taxation Concessions) Order, 1950 ?' The assessee is Her Highness Maharani Shri Kesarkunwerba Saheb of Movi and wife of His Highness Lukhdhirji of Morvi, who abdicated in favour of his son on 21st January, 1948. The Morvi State, which was formerly an independent State before its manager with the Union of the States of Saurashtra, intergrated in Saurashtra on 16th March, 1948. The question which we are called upon to determine requires us in effect to decided the real nature of a Resolution passed by the Saurashtra Government on 30th March, 1950. It will be convenient immediately to refer to that Resolution, which is as under : 'In pursuance of the decision taken at the Jamnagar conference of December, 1948/January, 1949, the grant of the village, Mota Dahisara, made by the Ruler to the person named below has been decided to be resumed and the grantee is to be paid cash annuity in lieu thereof as stated against name of the grantee. The cash annuity is in lieu of the village and it is payable to the grantee from the date possession of the village was made over to the Government in pursuance of the above decision. Morvi Cash Annuity Maharani Shri Kesarkunwerba Saheb in lieu of the village, Mota Dahisara... ... Rs. 35,807. The grantee is also to be paid her jiwai as Raj Mata Rs. 24,193 per annum as decided at the Cabinet meeting on 14th January, 1950. The combined cash allowance is payable to the grantee only for her lifetime.'
(3.) THE reference arises in these circumstance. Paragraph 15(i) of the Part B States (Taxation Concessions) Order, 1950, reads as under : 'Any income falling within the following classes shall be exempt from income -tax and super -tax and shall not be included in the total income or total world income of the person receiving them : (i) any sum which the widow or the mother of a person who was the Ruler of an Indian State receives as her maintenance allowance out of public revenues.' ;