1984 (12) TMI 107

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... revised return declaring a nil gift. However, the GTO treated the transfer as a gift and assessed the assessee accordingly. 3. In appeal, the learned Commissioner (Appeals) held that there was no adequate consideration measurable in terms of money's worth. He did not accept the contention raised on behalf of the assessee that there was a marriage agreement or ante-nuptial agreement and that the transfer of shares was by way of consideration of the promise by the lady to marry the assessee. 4. The assessee, being aggrieved, has come up in appeal before us. Shri K. Annadhanam, the learned counsel for the assessee, submitted that the transfer of shares made by virtue of pre-nuptial agreement was not a gift as it was outside the ambit of the....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....s held by the Supreme Court that though natural love and affection or even a promise to marry may be good consideration for a contract, but it cannot be regarded as an adequate consideration. So far as the meaning of the expression 'adequate consideration' is concerned, it was, held by the Andhra Pradesh High Court in the case of Potti Veerayya Sresty that the consideration that supports the transfer should be one, the value of which can be measured in terms of money or money's worth. To the same effect, meaning has been assigned to the expression 'adequate consideration' by the Andhra Pradesh High Court in the case of Khan Saheb Dost Mohd. Alladin. No decision was pointed out on behalf of the assessee before us of any High Court, where a d....