https://www.taxtmi.com/caselaws?id=18142 A father cannot create a valid loan to his minor children by acting both as lender in his personal capacity and as guardian in a representative capacity, because a minor is incapable of contracting and no enforceable debtor-creditor relationship can arise. A person cannot occupy both sides of the same bilateral contract, even while purporting to act in different capacities. The purported advance therefore lacks legal enforceability as a loan and is treated as a gift for gift-tax purposes. en-us Tue, 26 Mar 1996 00:00:00 +0530 Tue, 29 Sep 2009 10:53:30 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=18142 A father cannot create a valid loan to his minor children by acting both as lender in his personal capacity and as guardian in a representative capacity, because a minor is incapable of contracting and no enforceable debtor-creditor relationship can arise. A person cannot occupy both sides of the same bilateral contract, even while purporting to act in different capacities. The purported advance therefore lacks legal enforceability as a loan and is treated as a gift for gift-tax purposes. Case-Laws Income Tax Tue, 26 Mar 1996 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=18142