https://www.taxtmi.com/caselaws?id=12949 Distribution or adjustment of partnership assets on dissolution does not, by itself, amount to a deemed gift under section 4(1)(a) of the Gift-tax Act. The provision applies only where there is a transfer otherwise than for adequate consideration, and the firm's assets are treated as held in common by the partners rather than as property passing through an independent transfer by the firm to a partner. On that reasoning, dissolution and mutual adjustment of rights among partners did not attract the deemed gift provision, and the question was answered in favour of the assessee. en-us Tue, 03 Jul 2001 00:00:00 +0530 Mon, 25 May 2009 15:01:23 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=12949 Distribution or adjustment of partnership assets on dissolution does not, by itself, amount to a deemed gift under section 4(1)(a) of the Gift-tax Act. The provision applies only where there is a transfer otherwise than for adequate consideration, and the firm's assets are treated as held in common by the partners rather than as property passing through an independent transfer by the firm to a partner. On that reasoning, dissolution and mutual adjustment of rights among partners did not attract the deemed gift provision, and the question was answered in favour of the assessee. Case-Laws Income Tax Tue, 03 Jul 2001 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=12949