164. [ Charge of tax where share of beneficiaries unknown. [Substituted by Act 19 of 1970, Section 21, for Section 164 (w.e.f. 1.4.1971).]
(1)] [ Inserted by Act 14 of 2001, Section 65 (w.e.f. 1.6.2001).][Subject to the provisions of sub-sections (2) and (3), where] [ Restored by Act 3 of 1989, Section 95 (w.e.f. 1.4.1989).][any income in respect of which the persons mentioned in clauses (iii) and (iv) of sub-section (1) of section 160 are liable as representative assessees or any part thereof is not specifically receivable on behalf or for the benefit of any one person or where the individual shares of the persons on whose behalf or for whose benefit such income or such part thereof is receivable are indeterminate or unknown (such income, such part of the income and such persons being hereafter in this section referred to as "relevant income", "part of relevant income" and "beneficiaries", respectively), ] [ Restored by Act 3 of 1989, Section 95 (w.e.f. 1.4.1989).][tax shall be charged on the relevant income or part of relevant income at the maximum marginal rate:] [ Substituted by Act 44 of 1980, Section 27, for certain words (w.r.e.f. 1.4.1980).][Provided that in a case where-] [ Restored by Act 3 of 1989, Section 95 (w.e.f. 1.4.1989).](i)[ none of the beneficiaries has any other income chargeable under this Act exceeding the maximum amount not chargeable to tax in the case of an ] [Substituted by Act 44 of 1980, Section 27, for Clause (i) (w.r.e.f. 1.4.1980).][association of persons] [ Restored by Act 3 of 1989, Section 95 (w.e.f. 1.4.1989).][or is a beneficiary under any other trust; or [ Restored by Act 3 of 1989, Section 95 (w.e.f. 1.4.1989).](ii)the relevant income or part of relevant income is receivable ][under a trust declared by any person by will and such trust is the only trust so declared by him] [ Substituted by Act 44 of 1980, Section 27, for certain words (w.r.e.f. 1.4.1980).]; or(iii)[ the relevant income or part of relevant income is receivable under a trust created before the 1st day of March, 1970, by a non-testamentary instrument and the ] [ Restored by Act 3 of 1989, Section 95 (w.e.f. 1.4.1989).][Assessing Officer] [ Substituted by Act 4 of 1988, Section 2, for " Income-tax Officer" (w.e.f. 1.4.1988).][is satisfied, having regard to all the circumstances existing at the relevant time, that the trust was created bona fide exclusively for the benefit of the relatives of the settlor, or where the settlor is a Hindu undivided family, exclusively for the benefit of the members of such family, in circumstances where such relatives or members were mainly dependent on the settlor for their support and maintenance; or [ Restored by Act 3 of 1989, Section 95 (w.e.f. 1.4.1989).](iv)the relevant income is receivable by the trustees on behalf of a provident fund, superannuation fund, gratuity fund, pension fund or any other fund created bona fide by a person carrying on a business or profession exclusively for the benefit of persons employed in such business or profession, tax shall be charged ] [on the relevant income or part of relevant income as if it] [ Substituted by Act 44 of 1980, Section 27, for certain words (w.r.e.f. 1.4.1980).][were the total income of an ] [ Restored by Act 3 of 1989, Section 95 (w.e.f. 1.4.1989).][association of persons] [ Restored by Act 3 of 1989, Section 95 (w.e.f. 1.4.1989).]:[Provided further that where any income in respect of which the person mentioned in clause (iv) of sub-section (1) of section 160 is liable as representative assessee consists of, or includes, profits and gains of business, the preceding proviso shall apply only if such profits and gains are receivable under a trust declared by any person by will exclusively for the benefit of any relative dependent on him for support and maintenance, and such trust is the only trust so declared by him.] [ Inserted by Act 21 of 1984, Section 21 (w.e.f. 1.4.1985).](2)[ In the case of relevant income which is derived from property held under trust wholly for charitable or religious purposes, ] [ Restored by Act 3 of 1989, Section 95 (w.e.f. 1.4.1989).][or which is of the nature referred to in sub-clause (iia) of clause (24) of section 2, ] [ Inserted by Act 21 of 1984, Section 21 (w.e.f. 1.4.1985).][or which is of the nature referred to in sub-section (4-A) of section 11,] [Substituted by Act 16 of 1972, Section 27, for certain words (w.e.f. 1.4.1973).][tax shall be charged on so much of the relevant income as is not exempt under section 11 or section 12] [ Inserted by Act 21 of 1984, Section 21 (w.e.f. 1.4.1985).][, as if the relevant income not so exempt were the income of an association of persons:] [ Restored by Act 3 of 1989, Section 95 (w.e.f. 1.4.1989).][Provided that in a case where the whole or any part of the relevant income is not exempt under section 11 or section 12 by virtue of the provisions contained in clause (c) or clause (d) of sub-section (1) of section 13, tax shall be charged on the relevant income or part of relevant income at the maximum marginal rate.] [ Inserted by Act 21 of 1984, Section 21 (w.e.f. 1.4.1985).](3)[] [Substituted by Act 19 of 1970, Section 21, for Section 164 (w.e.f. 1.4.1971).][In a case where the relevant income is derived from property held under trust in part only for charitable or religious purposes or is of the nature referred to in sub-clause (iia) of clause (24) of section 2 ] [Substituted by Act 16 of 1972, Section 27, for certain words (w.e.f. 1.4.1973).][or is of the nature referred to in sub-section (4-A) of section 11,] [Inserted by Act 11 of 1983, Section 37 (w.e.f. 1.4.1984).][and either the relevant income applicable to purposes other than charitable or religious purposes (or any part thereof) ] [Substituted by Act 16 of 1972, Section 27, for certain words (w.e.f. 1.4.1973).][is not specifically receivable on behalf or for the benefit of any one person or the individual shares of the beneficiaries in the income so applicable are indeterminate or unknown, the tax chargeable on the relevant income shall be the aggregate of-] [Substituted by Act 44 of 1980, Section 27, for certain words (w.r.e.f. 1.4.1980).][ Substituted by Act 4 of 1988, Section 60, for sub-Section (1) (w.e.f. 1.4.1989).](a)[ the tax which would be chargeable on that part of the relevant income which is applicable to charitable or religious purposes (as reduced by the income, if any, which is exempt under section 11) as if such part (or such part as so reduced) were the total income of an association of persons; and [Substituted by Act 19 of 1970, Section 21, for Section 164 (w.e.f. 1.4.1971).](b)the tax on that part of the relevant income which is applicable to purposes other than charitable or religious purposes, and which is either not specifically receivable on behalf or for the benefit of any one person or in respect of which the shares of the beneficiaries are indeterminate or unknown, at the maximum marginal rate:Provided that in a case where-] [ Inserted by Act 22 of 2007, Section 49 (w.e.f. 1.6.2007).](i)[ none of the beneficiaries in respect of the part of the relevant income which is not applicable to charitable or religious purposes has any other income chargeable under this Act exceeding the maximum amount not chargeable to tax in the case of an association of persons or is a beneficiary under any other trust; or] [ Substituted by Act 44 of 1980, Section 27, for Clause (i) (w.r.e.f. 1.4.1980).](ii)[ the relevant income is receivable ] [Substituted by Act 19 of 1970, Section 21, for Section 164 (w.e.f. 1.4.1971).][under a trust declared by any person by will and such trust is the only trust so declared by him] [ Substituted by Act 44 of 1980, Section 27, for certain words (w.r.e.f. 1.4.1980).]; or(iii)[ the relevant income is receivable under a trust created before the 1st day of March, 1970, by a non-testamentary instrument and the ] [Substituted by Act 19 of 1970, Section 21, for Section 164 (w.e.f. 1.4.1971).][Assessing Officer] [ Substituted by Act 4 of 1988, Section 2, for " Income-tax Officer" (w.e.f. 1.4.1988).] [is satisfied, having regard to all the circumstances existing at the relevant time, that the trust, to the extent it is not for charitable or religious purposes, was created bona fide exclusively for the benefit of the relatives of the settlor, or where the settlor is a Hindu undivided family, exclusively for the benefit of the members of such family, in circumstances where such relatives or members were mainly dependent on the settlor for their support and maintenance, tax shall be charged ] [Substituted by Act 19 of 1970, Section 21, for Section 164 (w.e.f. 1.4.1971).][on the relevant income as if the relevant income (as reduced by the income, if any, which is exempt under section 11) were the total income of an association of persons] [ Substituted by Act 44 of 1980, Section 27, for certain words (w.r.e.f. 1.4.1980).]:[Provided further that where the relevant income consists of, or includes, profits and gains of business, the preceding proviso shall apply only if the income is receivable under a trust declared by any person by Will exclusively for the benefit of any relative dependent on him for support and maintenance, and such trust is the only trust so declared by him:Provided also that in a case where the whole or any part of the relevant income is not exempt under section 11 or section 12 by virtue of the provisions contained in clause (c) or clause (d) of sub-section (1) of section 13, tax shall be charged on the relevant income or part of relevant income at the maximum marginal rate.] [ Inserted by Act 21 of 1984, Section 21 (w.e.f. 1.4.1985).][Explanation 1. - For the purposes of this section,-(i)any income in respect of which the persons mentioned in clause (iii) and clause (iv) of sub-section (1) of section 160 are liable as representative assessee or any part thereof shall be deemed as being not specifically receivable on behalf or for the benefit of any one person unless the person on whose behalf or for whose benefit such income or such part thereof is receivable during the previous year is expressly stated in the order of the Court or the instrument of trust or wakf deed, as the case may be, and is identifiable as such on the date of such order, instrument or deed;(ii)the individual shares of the persons on whose behalf or for whose benefit such income or such part thereof is received shall be deemed to be indeterminate or unknown unless the individual shares of the persons on whose behalf or for whose benefit such income or such part thereof is receivable, are expressly stated in the order of the Court or the instrument of trust or wakf deed, as the case may be, and are ascertainable as such on the date of such order, instrument or deed.][* * *] [ Explanation 2 omitted by Act 4 of 1988, Section 64 (w.e.f. 1.4.1989).]] [ Inserted by Act 44 of 1980, Section 27 (w.r.e.f. 1.4.1980).]
