Madras H.C : The CIT has rightly stated that a broad view should be taken while deciding the question as to whether the gift is a deemed gift

High Court Of Madras

Commissioner Of Gift Tax vs. Dr. Mrs. Malini Krishnan

Sections GT 4(1)(a)

R. Jayasimha Babu & A.K. Rajan, JJ.

TC Appeal No. 367 of 2001

10th December, 2001

Counsel Appeared : Mrs. Chitra Venkataraman, for the Appellant

JUDGMENT

R. JAYASIMHA BABU, J.

The CIT has rightly stated that a broad view should be taken while deciding the question as to whether the gift is a deemed gift. It is only in cases where the difference in price is abnormal, the conclusion that the vendor has consciously given away to the buyer a valuable thing at a much lesser value only to favour the buyer can be reached, and the question of deemed gift would arise. The appeal is dismissed.

[Citation : 258 ITR 414]