Revenue neutrality in domestic related-party loans can require deletion of interest transfer pricing adjustments after domestic-transaction verificati...
Pre-enactment land-sale agreements escape stamp-duty value substitution where substantial banking-channel consideration was received before Section 43...
The ITAT ruled that gifts between step-siblings qualify for exemption under Section 56(2)(vii) of the Income Tax Act. The Tribunal held that although "brother and sister" is not explicitly defined in the Act, the term "relative" should be interpreted to include relationships by affinity. Applying common law principles, step-siblings who become related through their parents' marriage fall within the definition of "brother and sister" for tax purposes. Consequently, property received as a gift by a step-brother from his step-sister cannot be taxed under Section 56(2) as income from other sources. The addition made by the AO was deleted and the appeal was decided in favor of the assessee.
The ITAT ruled that gifts between step-siblings qualify for exemption under Section 56(2)(vii) of the Income Tax Act. The Tribunal held that although "brother and sister" is not explicitly defined in the Act, the term "relative" should be interpreted to include relationships by affinity. Applying common law principles, step-siblings who become related through their parents' marriage fall within the definition of "brother and sister" for tax purposes. Consequently, property received as a gift by a step-brother from his step-sister cannot be taxed under Section 56(2) as income from other sources. The addition made by the AO was deleted and the appeal was decided in favor of the assessee.
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