https://www.taxtmi.com/caselaws?id=20573 A transfer linked to the reconstitution of a firm qualifies for exemption under section 5(1)(xiv) of the Gift-tax Act, 1958 only if it has an integral connection with the carrying on of the business and is shown to be bona fide for business purposes. On the facts recorded, the incoming partners had already been working in the firm, their induction was found to be in the business interest, and the business had expanded after they joined. Those findings supported the statutory requirement that the gift be made in the course of business and for its bona fide advancement, bringing the transaction within the exemption. en-us Wed, 23 Jun 1993 00:00:00 +0530 Sat, 14 Nov 2009 17:17:48 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=20573 A transfer linked to the reconstitution of a firm qualifies for exemption under section 5(1)(xiv) of the Gift-tax Act, 1958 only if it has an integral connection with the carrying on of the business and is shown to be bona fide for business purposes. On the facts recorded, the incoming partners had already been working in the firm, their induction was found to be in the business interest, and the business had expanded after they joined. Those findings supported the statutory requirement that the gift be made in the course of business and for its bona fide advancement, bringing the transaction within the exemption. Case-Laws Income Tax Wed, 23 Jun 1993 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=20573