https://www.taxtmi.com/caselaws?id=16089 Section 5(3) of the Gift-tax Act applies where a spouse makes a later gift out of the very amount earlier received as a spouse gift, even though the earlier receipt was exempt under section 5(1)(viii). The decisive factor is the factual link between the two transactions: an account entry showing that the later payment was made to return the earlier gift established that the money was not independent of the exempt spouse gift. On that footing, the later gift was treated as taxable under the deeming rule. en-us Tue, 19 Jan 1999 00:00:00 +0530 Tue, 01 Sep 2009 10:26:10 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=16089 Section 5(3) of the Gift-tax Act applies where a spouse makes a later gift out of the very amount earlier received as a spouse gift, even though the earlier receipt was exempt under section 5(1)(viii). The decisive factor is the factual link between the two transactions: an account entry showing that the later payment was made to return the earlier gift established that the money was not independent of the exempt spouse gift. On that footing, the later gift was treated as taxable under the deeming rule. Case-Laws Income Tax Tue, 19 Jan 1999 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=16089