Indian Trust Act as well as Rajasthan
Public Trust Act, 1959 . Other than the dissolution clause we find that the
Trust Deed provides irrevocable nature ... case the trust registered with the Sub-registrar as a
charitable trust and the trust being an irrevocable trust, the obvious
position shall be that
Sucharitha Nagarajan 2009 Family Recoverable
Trust and further this trust is revocable one. Hence the income
pertaining to this trust was offered by the assessee ... observed that the two trusts were formed as
revocable trusts only in 2009, but they were converted into irrevocable
5 ITA No.1803/Bang/2017
exclusive benefit of his employees under an irrevocable trust".
We have also carefully gone through the provisions of sec. 37 of
the Income
towards setting up of or formation
of or contribution to any fund, trust, company etc. except where such sum is
paid for the purposes ... deduction.
Instances have come to notice where certain employers have created
irrevocable trusts, obstensibly for the welfare of employees, and transferred
to such trusts substantial
company, or
(d) under a transfer to a revocable or an irrevocable trust, or
(e) under any such transfer as is referred to in clause
company, or under a transfer to a revocable or an irrevocable trust, or under
any such transfer as is referred to in certain clauses
capital asset under a fit or will or an irrevocable
trust;
25. Reliance was placed on the decision of the Hon'ble Gujarat High ... capital asset under a sift or will or an
irrevocable trust:
The Hon'ble Gujarat High Court in the case of the Prakriya Pharmacem
required:
i) making of provisions for gratuity liability
ii) creating an irrevocable trust fund
iii) payment of 50% of gratuity provision amount before ... lacs
towards gratuity liability in this year, an irrevocable trust
was created on 18.12.1975, application to CIT was made
on 26.12.1975, an amount
India, had
formed a gratuity fund, which was an irrevocable trust. Thus, the
amount could not be misused by the appellant in any case ... created by him for the exclusive benefit of his
employees under irrevocable trust and, therefore, a deduction under
section 36(1)(v) or under section
employer should not have any control over the funds of the
irrevocable trust created exclusively for the benefit of the employees. In the
instant case ... employer should not have any control over the funds of the
irrevocable trust created exclusively for the benefit of the employees. In the
instant case
