AIR 1972 DELHI 128 ::ILR (1972) 2 Delhi 33

Delhi High Court

Hon'ble Judge(s): Hardayal Hardy , C.J. AND S. N. Shankar, V. S. Deshpande , JJ

Stamp Act (2 of 1899) , S.2(24)— "Settlement" - A deed creating a charitable trust is a settlement chargeable under Art.58 of Sch. IA and not a declaration of trust chargeable under Art.64. Stamp Act (2 of 1899) , Sch.IA, Art.58, Art.64— Trusts Act (2 of 1882) , S.1— Religious or charitable endowments, whether public or private, are excluded from the purview of "trust" chargeable to duty under Art, 64 of Sch. I-A of the Stamp Act. Further, the definition of "settlement" in Section 2(24) expressly includes a settlement "for any religious or charitable purpose ......... in writing, whether by way of declaration of trust or otherwise". Even if the word "trust" in Art, 64 is regarded as having the same meaning as it has in the Trusts Act, still "public or private religious or charitable endowments" are excluded by Section 1 of the Trusts Act from the scope of that Act and the "trust" as understood in that Act does not include religious or charitable endowments. The deed is expressly entitled to be a charitable trust. In view of Section 1 of the Trysts Act, it falls outside the ambit of "trust" chargeable to duty under Art.64 of the Schedule to the Stamp Act. On the other hand, it is expressly covered by the definition of "settlement" to Section 2(24) of the Stamp Act.(Para 4) The fact that the Founder trustee himself....