https://www.taxtmi.com/caselaws?id=62188 Reduction in an assessee's profit share on admitting his son as a partner was not a taxable gift where the incoming partner contributed capital and was engaged as a working partner for office work and general administration under the partnership deed. The consideration was treated as adequate because the diminished profit share was supported by the son's capital contribution and participation in the business. Revenue authorities' reliance on other cases was distinguished on the basis that those decisions involved materially different facts, including absence of capital contribution by the incoming partner. Gift-tax was therefore not leviable. en-us Wed, 07 Aug 1985 00:00:00 +0530 Tue, 18 Jan 2011 14:25:41 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=62188 Reduction in an assessee's profit share on admitting his son as a partner was not a taxable gift where the incoming partner contributed capital and was engaged as a working partner for office work and general administration under the partnership deed. The consideration was treated as adequate because the diminished profit share was supported by the son's capital contribution and participation in the business. Revenue authorities' reliance on other cases was distinguished on the basis that those decisions involved materially different facts, including absence of capital contribution by the incoming partner. Gift-tax was therefore not leviable. Case-Laws Income Tax Wed, 07 Aug 1985 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=62188