R.M. Sahai, J.

1. The Income-tax Appellate Tribunal, Allahabad, has referred the following question of law for the opinion of this court :

"Whether, on the facts and in the circumstances of the case, the Tribunal was in law justified in holding that no goodwill passed on the death of Shri Ram Bharosey Lal either Under Section 5 or Under Section 7 of the E.D. Act, 1953?"

2. It has been found that one Ram Bharosey Lal was a partner in M/s. Dunkar Durrie Company. He died on 6th September, 1971. His wife and legal heir, Smt. Ram Sumarni Devi, filed an estate duty account and showed the net value of the estate at Rs. 1,04,340. IT was not accepted by the Asst. Controller of E.D. He determined it at Rs. 1,56,447. In this computation, he added a sum of Rs. 44,511 as the value of 50% share of the accountable person for the goodwill in M/s. Dunkar Durrie Company. The Tribunal did not agree with it. IT examined the terms of the partnership deed and found that under it the partnership was determinable at will. Clause 12 of the deed, which is relevant, reads thus :

"It is expressly agreed that no adjustment shall be made for alleged goodwill, if any, in case of death or retirement of any