https://www.taxtmi.com/caselaws?id=7813 The proviso to section 12B(2) applies only where a transfer is made with the object of avoiding or reducing an existing liability under section 12B. If the capital gains charging provision was not operative on the date of transfer, that requisite object cannot be attributed to the transferor in relation to a liability not then in existence. Absent material showing actual avoidance, the proviso cannot be invoked against the assessee-firm on a transfer of shares to its partners. en-us Thu, 19 Feb 1970 00:00:00 +0530 Thu, 19 Mar 2009 15:42:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=7813 The proviso to section 12B(2) applies only where a transfer is made with the object of avoiding or reducing an existing liability under section 12B. If the capital gains charging provision was not operative on the date of transfer, that requisite object cannot be attributed to the transferor in relation to a liability not then in existence. Absent material showing actual avoidance, the proviso cannot be invoked against the assessee-firm on a transfer of shares to its partners. Case-Laws Income Tax Thu, 19 Feb 1970 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=7813