section 47/168

[hariharpur shivaram]

Section 47 says transactions not regarded as transfer for any transfer of capital asset under gift or will.

Under section 168 ,the executors have to pay Capital gain tax and then distribute the remaining amount to the beneficiearies stated in the will.

Please explain the applicability of both the sections and whether s 47 overrides section 168 with any any case law if available.

AI Summary

Clarification on Sections 47 and 168: Gifts and wills exempt from transfer tax, but executors must manage estate tax obligations. A query was raised about the applicability of Sections 47 and 168 of the Income Tax Act regarding capital asset transfers through gifts or wills. Section 47 states that such transfers are not considered as transfers for tax purposes. Section 168 requires executors to pay capital gains tax before distributing the remaining estate to beneficiaries. A response clarified that while Section 47 exempts gifts and wills from being treated as transfers, executors must still manage the deceased's estate according to their instructions and handle tax obligations on their income.