COMMISSIONER OF WEALTH TAX, ALLAHABAD vs ARVIND.NAROTTAM (INDL.)

The Supreme Court held that under Section 21(2) of the Wealth Tax Act, 1957, a mere right to be considered for distribution of income or corpus from a trust does not constitute an 'interest' for wealth tax purposes. The Court affirmed the High Court's decision that only the capitalized value of the minimum amounts payable under the trust deeds should be included in the net wealth of the assessee. The ruling established that a present or contingent right is necessary for an interest to exist, thus dismissing the Revenue's appeal.