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PETITIONER: EXECUTORS OF THE ESTATE OF J.K. DUBASH
Vs.
RESPONDENT: COMMISSIONER OF INCOME TAX, BOMBAYCITY.
DATE OF JUDGMENT: 21/12/1950
BENCH: KANIA, HIRALAL J. (CJ) BENCH: KANIA, HIRALAL J. (CJ) SASTRI, M. PATANJALI DAS, SUDHI RANJAN
CITATION: 1951 AIR 111 1950 SCR 969 CITATOR INFO : R 1958 SC 269 (10) RF 1986 SC 376 (21)
ACT: Indian Income-tax Act (XI of 1922), s. 25 Death of person carrying on business--Executors carrying on business as going concern for selling it under terms of will--Whether "succeed in such capacity "to testator--Date of succession.
HEADNOTE: A person who carried on a business on which tax had been levied under the Income-tax Act of 1918 died on the 9th of April, 1942, leaving a will by which he authorised his executors to carry on his business as a going concern, as if they were absolute owners but without being responsible for loss, for a period not exceedin 12 months during which if any of his nephews wanted to purchase the business, they might sell it to him or them. The business was sold to one of the nephews on the let January, 1993. The question being whether for the purposes of s. 25 (4) of the Income- tax Act of 1922 is amended in 1939 the succession to the business took place on the 9th April, 1942, when the testator died or on the 1st January, 1943, when the business was sold:...