https://www.taxtmi.com/caselaws?id=29310 A transfer that creates or constitutes a charitable fund can qualify for exemption under section 5(1)(v) of the Gift-tax Act even when it is the initial settlement of the trust. The exemption is available where the trust property is devoted exclusively to charitable purposes during the relevant assessment year, and contingent future interests in grandchildren do not defeat the exemption if no vested beneficial interest has yet arisen. On that footing, the charitable purpose remains operative for the year and the transfer is treated as a qualifying charitable gift. en-us Wed, 13 Jan 1982 00:00:00 +0530 Fri, 12 Mar 2010 11:10:51 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=29310 A transfer that creates or constitutes a charitable fund can qualify for exemption under section 5(1)(v) of the Gift-tax Act even when it is the initial settlement of the trust. The exemption is available where the trust property is devoted exclusively to charitable purposes during the relevant assessment year, and contingent future interests in grandchildren do not defeat the exemption if no vested beneficial interest has yet arisen. On that footing, the charitable purpose remains operative for the year and the transfer is treated as a qualifying charitable gift. Case-Laws Income Tax Wed, 13 Jan 1982 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=29310