https://www.taxtmi.com/caselaws?id=39494 A bona fide family settlement made to resolve existing and future disputes and preserve harmony was not treated as a transfer of property in the statutory sense. The High Court noted that, in such settlements, each party takes property by recognising the other's independent title, so the arrangement is not an alienation creating a new interest. Section 4(1)(a) of the Gift-tax Act, 1958 applies only where there is a transfer for consideration that is shown to be inadequate; on the facts, the share allocation formed part of the family settlement and did not attract the deeming provision. No deemed gift was taxable in the assessee's hands. en-us Tue, 05 Aug 1975 00:00:00 +0530 Fri, 10 Jun 2016 17:31:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=39494 A bona fide family settlement made to resolve existing and future disputes and preserve harmony was not treated as a transfer of property in the statutory sense. The High Court noted that, in such settlements, each party takes property by recognising the other's independent title, so the arrangement is not an alienation creating a new interest. Section 4(1)(a) of the Gift-tax Act, 1958 applies only where there is a transfer for consideration that is shown to be inadequate; on the facts, the share allocation formed part of the family settlement and did not attract the deeming provision. No deemed gift was taxable in the assessee's hands. Case-Laws Income Tax Tue, 05 Aug 1975 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=39494