SHETH K M Vs. COMMISSIONER OF INCOME TAX COMMISSIONER OF WEALTH TAX

JUDGEMENT

(1.) THE two questions referred to us in this reference, one of them being under S. 66(1)/256(1) of the Indian IT Act, 1922, and the other being under S. 27(1) of the WT Act, 1957, are as under:

(2.) THE assessee is an individual having substantial income from salary, property and dividends. By a deed of trust dated March 30, 1960, he settled upon trust and transferred to the trustees mentioned in the said deed of trust, inter alia, 1,500 shares of Changdeo Sugar Mills Ltd. The assessee had a son by name Bharat Kanaiyalal Sheth who was aged about 2 years on the date of the deed of trust. The deed of trust provided, inter alia, as under :

(3.) SO far as question No. 1 is concerned Mr. Mehta appearing on behalf of the assessee has for the purposes of this Court conceded that in view of the judgment of Vimadalal and S. K. Desai, JJ. in WT Ref. No. 21 of 1966 [Shardaben Jayantilal Mulji vs. CWT 1976 CTR (Bom) 88 : (1977) 106 ITR 667 (Bom)) question No. 1 should be answered in the affirmative and in favour of the Revenue.