https://www.taxtmi.com/caselaws?id=66044 A bona fide family arrangement made to preserve harmony, avoid future disputes and fairly adjust family claims is valid even without a formal transfer, if the parties acknowledge their rights and act on the settlement. Here, the registered arrangement of 21-3-1980 was treated as effective because it was executed among family members, reflected a settled division of interests, and was acted upon through mutation and tax compliance. The assessee was therefore assessable only on the income from the property allotted to her under that settlement, and the revenue's challenge failed. en-us Fri, 09 Jun 1989 00:00:00 +0530 Mon, 21 Feb 2011 10:39:53 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=66044 A bona fide family arrangement made to preserve harmony, avoid future disputes and fairly adjust family claims is valid even without a formal transfer, if the parties acknowledge their rights and act on the settlement. Here, the registered arrangement of 21-3-1980 was treated as effective because it was executed among family members, reflected a settled division of interests, and was acted upon through mutation and tax compliance. The assessee was therefore assessable only on the income from the property allotted to her under that settlement, and the revenue's challenge failed. Case-Laws Income Tax Fri, 09 Jun 1989 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=66044