https://www.taxtmi.com/caselaws?id=5021 Simultaneous cross-settlements between related parties may amount to an indirect transfer of assets under section 16(3)(a)(iv) of the Indian Income-tax Act, 1922 where the transactions are inter-connected parts of the same arrangement adopted to evade the section. The governing enquiry is not confined to whether each transfer is outwardly real or supported by technical consideration, but whether the surrounding circumstances show a composite device designed to defeat the statutory provision. The material evidence must be considered as a whole, and a narrow focus on simultaneity or formal consideration is insufficient. The correct legal test therefore requires reconsideration on the full facts. en-us Thu, 16 Mar 1967 00:00:00 +0530 Tue, 18 Nov 2008 16:36:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=5021 Simultaneous cross-settlements between related parties may amount to an indirect transfer of assets under section 16(3)(a)(iv) of the Indian Income-tax Act, 1922 where the transactions are inter-connected parts of the same arrangement adopted to evade the section. The governing enquiry is not confined to whether each transfer is outwardly real or supported by technical consideration, but whether the surrounding circumstances show a composite device designed to defeat the statutory provision. The material evidence must be considered as a whole, and a narrow focus on simultaneity or formal consideration is insufficient. The correct legal test therefore requires reconsideration on the full facts. Case-Laws Income Tax Thu, 16 Mar 1967 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=5021