https://www.taxtmi.com/caselaws?id=38681 Exemption for a gift of goodwill under section 5(1)(xiv) of the Gift-tax Act is available only where the transfer is made in the course of carrying on the business and bona fide for that business purpose. The assessee must prove a real and integral nexus between the gift and the business, and mere recitals in a partnership deed or the presence of a family relationship do not establish that nexus. On the stated facts, there was no material showing that the daughters brought any business advantage or that their inclusion was commercially necessary, so the transfer of goodwill was not exempt and remained taxable. en-us Wed, 18 Jul 1973 00:00:00 +0530 Thu, 08 Apr 2010 12:39:30 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=38681 Exemption for a gift of goodwill under section 5(1)(xiv) of the Gift-tax Act is available only where the transfer is made in the course of carrying on the business and bona fide for that business purpose. The assessee must prove a real and integral nexus between the gift and the business, and mere recitals in a partnership deed or the presence of a family relationship do not establish that nexus. On the stated facts, there was no material showing that the daughters brought any business advantage or that their inclusion was commercially necessary, so the transfer of goodwill was not exempt and remained taxable. Case-Laws Income Tax Wed, 18 Jul 1973 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=38681