https://www.taxtmi.com/caselaws?id=8190 A gift may be validly effected through debit and credit entries in account books if the entries divest the donor of control, vest the amount in the donee, and are accepted as a bona fide transfer; physical delivery of cash is not essential, and an inadequate cash balance in the firm's books does not by itself invalidate the transaction. On that basis, the related interest disallowance could not stand, because it was premised on the gifts being ineffective. The document states that the gifts were upheld as valid in law and the interest disallowance was rejected. en-us Tue, 23 Mar 1971 00:00:00 +0530 Thu, 02 Apr 2009 17:33:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=8190 A gift may be validly effected through debit and credit entries in account books if the entries divest the donor of control, vest the amount in the donee, and are accepted as a bona fide transfer; physical delivery of cash is not essential, and an inadequate cash balance in the firm's books does not by itself invalidate the transaction. On that basis, the related interest disallowance could not stand, because it was premised on the gifts being ineffective. The document states that the gifts were upheld as valid in law and the interest disallowance was rejected. Case-Laws Income Tax Tue, 23 Mar 1971 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=8190