https://www.taxtmi.com/caselaws?id=7697 A single instrument that combines an ostensible sale with a condition for repurchase is to be treated as a mortgage by conditional sale unless the document and surrounding circumstances clearly show a contrary intention. Applying section 58(c) of the Transfer of Property Act, the court found that the deed's sale wording was outweighed by the embedded repurchase condition, its protection against transferees, the reference to additional surety, and the background of earlier mortgage dealings and an outstanding debt. The transaction was therefore characterised as a mortgage by conditional sale, and the remaining debt was held deductible as a bad debt under the Indian Income-tax Act, 1922. en-us Fri, 07 Nov 1969 00:00:00 +0530 Tue, 17 Mar 2009 16:14:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=7697 A single instrument that combines an ostensible sale with a condition for repurchase is to be treated as a mortgage by conditional sale unless the document and surrounding circumstances clearly show a contrary intention. Applying section 58(c) of the Transfer of Property Act, the court found that the deed's sale wording was outweighed by the embedded repurchase condition, its protection against transferees, the reference to additional surety, and the background of earlier mortgage dealings and an outstanding debt. The transaction was therefore characterised as a mortgage by conditional sale, and the remaining debt was held deductible as a bad debt under the Indian Income-tax Act, 1922. Case-Laws Income Tax Fri, 07 Nov 1969 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=7697