Supreme Court of India

Commissioner of Income Tax, Hyderabad v. Nawab Mir Barkat Ali Khan Bahadur

Neutral citation
Reported as [1975] 2 S.C.R. 453
Bench Hans Raj Khanna J.
Decided 16 October 1974

INSC stands for INDIAN SUPREME COURT. A neutral citation scheme assigned by the Court itself, so a judgment can be cited without depending on a commercial law reporter. INSC is the neutral citation scheme assigned by the Supreme Court, so a judgment can be cited without depending on a commercial law reporter.

What the Court ordered

We are of the opinion that a fair reading of the agreement shows that the basic scheme of the agreement was that the payment of Rs. 1,00,000 under the agreement would be exempted from the payment of tax.

Judgment, page 9

From the headnote

Indian Income-tax Act 1922-Trust created by assessee Corpus deposited with the Government-Government agreed to pay Interest free of all taxes. Beneficiary released and assigned all rights In the trust to the settlor-assessee-Whether settlor­ assessee entitled to tM same exemption from taxation as the beneficiary. The assessee had created a trust of thirty lacs of rupees for the benefit of his daughter-in-law on 8th October, 1949. On the same day an agreement was entered into between the assessee and Government of India, the important terms of which were that the trustees would deposit the

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