1989 (5) TMI 116

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....grand daughters (son's daughters), namely, Ms. Rachna and Ms. Sippy in December, 1982. She also paid an air-ticket of Rs. 7,840 for Ms. Sushma. In the opinion of the IAC of Gift-tax (Assessment) the said marriage expenditure of Rs. 40,000 and air-ticket of Rs. 7,840 amounted to gift by Smt. Raja Devi. He, therefore, issued notice under section 16(1) of the Gift-tax Act to the assessee calling upon....

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....Rs. 40,000 for performance of those marriages and cost of air-ticket of Rs. 7,840 was a direct gift. As to the legal obligation to perform marriages, the Assessing Officer placed reliance on sections 20 and 21 read with section 3(b) of the Hindu Adoptions and Maintenance Act, 1956. 3. The Commissioner of Gift-tax (Appeals) endorsed the assessment order. 4. Same stands as were taken by the pa....

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....y the donor to the donee. Such transfer should be by way of disposition, conveyance, assignment, settlement, delivery, payment or other alienation of property. In the instant case nothing has been transferred by the assessee to her grand daughters. The grand daughters did not acquire any property. Gratuitous expenditure on any person without transferring any property to him cannot by any stretch o....