TMI Blog2008 (12) TMI 410X X X X Extracts X X X X X X X X Extracts X X X X ..... sions of section 126 of the Transfer of Property Act - Revenue made an application stating that if the gift was revoked, bonus shares will revert back to the donor, which aspect was not considered by the Tribunal - Tribunal rejected the said application on the ground that the said issue was not raised earlier - Held that: - bonus shares or dividend income remained to be the income of the donee, un ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ication filed by the Revenue. 2. The assessee declared value of two types of gifts made during the assessment year : (i) outright gift, and (ii) revocable gift. With regard to the revocable gift, protective assessment was made. It was observed that revocable gifts were void as the assessee avoided the liability under the Wealth-tax Act and also being against the provisions of section 126 of th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ue was not raised earlier. 5. Learned counsel for the Revenue fairly states that as far as the concept of revocable gift is concerned, this court in CGT v. Satya Nand Munjal [2002] 256 ITR 516 has upheld the view of the Tribunal that even though under the general law, a revocable gift is void, under the Gift-tax Act, the same could be recognised for taxation purpose and could not be treated to ..... X X X X Extracts X X X X X X X X Extracts X X X X
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