https://www.taxtmi.com/caselaws?id=69545 A debt write-off against trust assets was treated as a commercial recovery decision, not a deemed gift, where the trustees and creditor accepted sale proceeds in full satisfaction after the trust property had declined in value and yielded no further income. The analysis notes that continuing to wait for the original deferred sale period would have been impracticable and potentially harmful to beneficiaries, so the balance written off was not an abandonment without consideration under the Gift-tax Act. A separate write-off of a debt already barred by limitation was also regarded as a proper accounting act because the amount was no longer legally recoverable, and no taxable deemed gift arose. en-us Tue, 07 Aug 1990 00:00:00 +0530 Thu, 07 Apr 2011 15:22:35 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=69545 A debt write-off against trust assets was treated as a commercial recovery decision, not a deemed gift, where the trustees and creditor accepted sale proceeds in full satisfaction after the trust property had declined in value and yielded no further income. The analysis notes that continuing to wait for the original deferred sale period would have been impracticable and potentially harmful to beneficiaries, so the balance written off was not an abandonment without consideration under the Gift-tax Act. A separate write-off of a debt already barred by limitation was also regarded as a proper accounting act because the amount was no longer legally recoverable, and no taxable deemed gift arose. Case-Laws Income Tax Tue, 07 Aug 1990 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=69545