https://www.taxtmi.com/caselaws?id=55280 Exercise of a power of appointment in favour of persons other than the donee was treated as a transfer within the inclusive definition under the Gift-tax Act, because the decisive act was the actual exercise of the power and not the mere possibility that it could have been exercised in the donee's favour. The Finance (No. 2) Act, 1980 amendment was read as clarificatory, and a direct transfer by the original trustees was rejected on the trust deed's terms. Gift-tax therefore applied. For valuation, the taxable event was the date of exercise of the power, so only the interest then transferred had to be valued, not the later effective transfer made by the trustees. en-us Mon, 10 Jun 1985 00:00:00 +0530 Thu, 25 Nov 2010 11:28:42 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=55280 Exercise of a power of appointment in favour of persons other than the donee was treated as a transfer within the inclusive definition under the Gift-tax Act, because the decisive act was the actual exercise of the power and not the mere possibility that it could have been exercised in the donee's favour. The Finance (No. 2) Act, 1980 amendment was read as clarificatory, and a direct transfer by the original trustees was rejected on the trust deed's terms. Gift-tax therefore applied. For valuation, the taxable event was the date of exercise of the power, so only the interest then transferred had to be valued, not the later effective transfer made by the trustees. Case-Laws Income Tax Mon, 10 Jun 1985 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=55280