https://www.taxtmi.com/caselaws?id=65619 Transfer of land by a partner to a partnership firm as capital contribution was treated as a taxable gift because the credit in the partner's capital account was only notional and did not amount to real consideration. The exemption under section 5(1)(xiv) was denied because the transfer was not made in the course of carrying on an existing business, as the partnership business had not yet commenced. Valuation was also corrected: the arbitrary enhanced rate adopted by the Gift-tax Officer was rejected, and the taxable gift was to be recomputed on the admitted value, with the assessee's share in the partnership interest excluded for final computation. en-us Thu, 06 Sep 1990 00:00:00 +0530 Fri, 18 Feb 2011 10:12:15 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=65619 Transfer of land by a partner to a partnership firm as capital contribution was treated as a taxable gift because the credit in the partner's capital account was only notional and did not amount to real consideration. The exemption under section 5(1)(xiv) was denied because the transfer was not made in the course of carrying on an existing business, as the partnership business had not yet commenced. Valuation was also corrected: the arbitrary enhanced rate adopted by the Gift-tax Officer was rejected, and the taxable gift was to be recomputed on the admitted value, with the assessee's share in the partnership interest excluded for final computation. Case-Laws Income Tax Thu, 06 Sep 1990 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=65619