SYED SHAH SARFE ALAM MUTAWALLI Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THIS reference under Section 256(1) of the I.T. Act, 1961 (hereinafter to be referred to as "the Act"), was made by the Income-tax Appellate Tribunal, Patna Bench (A), Patna. The following question has been referred for our opinion:

(2.) THE assessee went up in appeal before the AAC who held that neither the number, of beneficiaries was known, as it was always increasing, nor was there any definite share even with regard to the beneficiaries at a particular time. THE ACC also rejected the account of allocation placed before him and held that the assessee was making out a contradictory claim before him. He, therefore, upheld the assessment made by the ITO. While doing so, he also considered the provisions of the wakf deed and the relevant provisions of law in this regard. A copy of the first appellate order has been marked annex. B to the statement of the case.

(3.) WE accordingly, answer the question referred to us in the affirmative and hold that, on the facts and in the circumstances of the case, the Tribunal was correct in holding that the shares of the beneficiaries were not determinate, and, consequently the income of the wakf was assessable in the hands of the mutawalli in the status of an association of persons. The question thus is decided in favour of the Revenue and against the assessee. On the facts and in the circumstances of the case, there will be no order as to costs.