1989 (8) TMI 1 - SCH - Income Tax

Transfer of business of firm to private company - ITO invoked section 52 for estimating fair market value of the goodwill - action of ITO was not justified because no separate consideration was paid for goodwill and no capital gains arose on the transfer of the goodwill

Summary

The Supreme Court upheld the Tribunal's decision based on CIT v. B. C. Srinivasa Setty [1981] 128 ITR 294 (SC). The matter is disposed of with no costs.