1. THE payments in question were payments which the executors and trustees--the present applicants--were directed by the will to make to certain persons named. THE payments were either payments of moneys gradually or by annuities, and they were in each case by the will itself directed to be made "out of the income of my property". That clearly indicates that they were payments which could only be made out of the income which the executors and trustees received. What has been charged to tax here has been the income which reached the assessees, namely, the executors and trustees.--Raja Bejoy Singh Dudhuria vs. CIT (1933) 1 ITR 135 (PC) : TC38R.627 applied PER NASIM ALI, J (AGREEING AND SUPPLEMENTING) It was argued that this sum cannot be treated as part of the income of the executors as by the will it has been diverted from the estate to some other persons owing to their being payable by way of annuities. If this view is correct then all the expenses paid by the executors out of the income, in accordance with the terms of the will, would be exempt from taxation. In that case the money which is payable by the executors to themselves as trustees of beneficiary out of the income