Commissioner of Gift-tax Vs. Vilas G. Kurbetti - Court Judgment |
| SooperKanoon Citation | sooperkanoon.com/378271 |
| Subject | Direct Taxation |
| Court | Karnataka High Court |
| Decided On | Mar-18-1991 |
| Case Number | T.R.C. No. 184 of 1987 |
| Judge | K. Shivashankar Bhat and;R. Ramakrishna, JJ. |
| Reported in | [1992]194ITR502(KAR); [1992]194ITR502(Karn) |
| Acts | Gift Tax Act, 1958 |
| Appellant | Commissioner of Gift-tax |
| Respondent | Vilas G. Kurbetti |
| Advocates: | G. Chandrakumar, Adv. |
Excerpt:
- income tax act,1961[c.a.no.43/1961] -- sections 158-ba & 143: [v.gopala gowda & arali nagaraj, jj] assessment same income which was assessed as undisclosed income for block period in block assessment - held, the assessment of undisclosed income relating to block period shall have to be made only in accordance with the provisions of chapter xiv-b of income-tax act, 1961; which provide special procedure for such assessment and that the total undisclosed income relating to the block period which is assessed under the said chapter shall not be included in the regular assessment of any previous year included in the block period. hence, the same income which was assessed as the undisclosed income for the block period could not be assessed even on protective basis.
k. shivashankar bhat, j.1. the question brought for our consideration under the provisions of the gift-tax act reads thus : 'whether, on the facts and in the circumstances of the case, the relinquishment of a share in the firm consequent on the reconstitution of the firm amounts to a gift or a deemed gift or a deemed gift and is taxable under the gift-tax act ?' 2. the question is covered by the decision of this court in d. c. shah v. cgt : [1982]134itr492(kar) . accordingly, it is held that it is not a gift and not taxable. the question is answered against the revenue. reference answered accordingly.
Judgment:K. Shivashankar Bhat, J.
1. The question brought for our consideration under the provisions of the Gift-tax Act reads thus :
'Whether, on the facts and in the circumstances of the case, the relinquishment of a share in the firm consequent on the reconstitution of the firm amounts to a gift or a deemed gift or a deemed gift and is taxable under the Gift-tax Act ?'
2. The question is covered by the decision of this court in D. C. Shah v. CGT : [1982]134ITR492(KAR) . Accordingly, it is held that it is not a gift and not taxable. The question is answered against the Revenue. Reference answered accordingly.