TaxTMI Login
Just a moment...
Press 'Enter' to add multiple search terms. Rules for Better Search
Use comma for multiple locations.
---------------- For section wise search only -----------------
Accuracy Level ~ 90%
of 
Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
No Folders have been created
Are you sure you want to delete "My most important" ?
NOTE:
of Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
All Case Laws
of Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
All Case Laws
Join Channel
Note
Bookmark
Share
Don't have an account? Register Here
of Press 'Enter' after typing page number.
Issues: Whether the transfer of a half share in immovable property by the assessee to his daughter under a deed of maintenance constituted a gift chargeable to gift-tax, or whether it was a transfer made in discharge of the assessee's statutory obligation of maintenance and therefore outside the definition of gift.
Analysis: The transfer was made in favour of the assessee's daughter under a maintenance deed executed before the marriage was arranged, and the property was intended to provide for her maintenance. Under the Hindu Adoptions and Maintenance Act, 1956, a Hindu is under a legal obligation to maintain his children, including an unmarried daughter, and that obligation extends to maintenance, education, residence, medical needs, and reasonable marriage expenses. A transfer made to discharge such a legal obligation is not a voluntary transfer without consideration. The exemption under section 5(1)(vii) of the Gift-tax Act, 1958 applies to gifts made on the occasion of marriage, subject to the stated monetary limit, and did not govern the present transfer because the property was not gifted on the occasion of marriage.
Conclusion: The transfer was not a gift within the meaning of the Gift-tax Act, 1958, and no gift tax was leviable on the transaction.
TaxTMI 
