https://www.taxtmi.com/caselaws?id=64850 Reopening of the gift-tax assessment was upheld because the District Valuation Officer's report provided material to form a reason to believe that taxable gift had escaped assessment. The deemed gift addition, however, was deleted because section 4(1)(a) requires transfer for inadequate consideration to be valued in the manner prescribed under Schedule II, and a mere higher fair market valuation report does not satisfy that requirement. On identical facts, the co-ordinate Bench had already held that valuation alone cannot sustain the addition. The assessee therefore failed on reopening but succeeded on the merits of the deemed gift claim. en-us Thu, 30 Nov 2006 00:00:00 +0530 Thu, 10 Feb 2011 16:25:10 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=64850 Reopening of the gift-tax assessment was upheld because the District Valuation Officer's report provided material to form a reason to believe that taxable gift had escaped assessment. The deemed gift addition, however, was deleted because section 4(1)(a) requires transfer for inadequate consideration to be valued in the manner prescribed under Schedule II, and a mere higher fair market valuation report does not satisfy that requirement. On identical facts, the co-ordinate Bench had already held that valuation alone cannot sustain the addition. The assessee therefore failed on reopening but succeeded on the merits of the deemed gift claim. Case-Laws Income Tax Thu, 30 Nov 2006 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=64850