Section 52 - Amendment of Act 18 of 1958 - Finance Act, 1964

52. Amendment of Act 18 of 1958 In the Gift-tax Act, 1958,- (a) in section 5,- (i) in clause (viii) of sub-section (1), for the words rupees one lakh , the words rupees fifty thousand shall be substituted; (ii) in sub-section (2), for the words ten thousand , the words five thousand shall be substituted; (b) after section 6, the following section shall be inserted, namely:- 6A. Aggregation of gifts made to the same donee during a certain period. (1) Notwithstanding anything to the contrary contained in this Act, where an assessee has made taxable gifts to the same donee during a previous year and during any one or more of the four previous years immediately preceding such previous year, the gift-tax payable by him for the relevant assessment year shall, subject to the provisions of sub-section (2), be determined in the following manner, namely:- (a) the value of the taxable gifts made to such a donee during any one or more of the four previous years immediately preceding the previous year relevant to an assessment year shall be aggregated with the value of the taxable gifts made by the assessee during the relevant previous year and gift-tax shall be calculated on the aggregate value at the rate or rates specified in the Schedule; (b) from the amount of gift-tax calculated under clause (a), there shall be deducted the aggregate of- (i) an amount which bears to the amount of gift-tax calculated under clause (a) the same proportion as the value of any taxable gift made to such donee prior to the 1st day of April, 1963 included in the aggregate value referred to in clause (a) bears to such aggregate value; (ii) the amount of any gift-tax payable by the assessee for each of the four assessment years immediately preceding the relevant assessment year in respect of the value of the taxable gifts made by him to the said donee after the 31st day of March, 1963, included in the aggregate value referred to in clause (a). and the balance shall be the amount of gift-tax payable by the assessee. Explanation.-For the purposes of sub-clause (ii) of clause (b), the amount of gift-tax payable by an assessee in respect of the value of taxable gifts made by him to the same donee for each of the four assessment years immediately preceding the relevant assessment year means such proportion of the total amount of gift-tax payable by the assessee for that assessment year as the value of any taxable gifts made by him after the 31st day of March, 1963, to such donee during the relevant previous year bears to the total value of the taxable gifts made by the assessee during that previous year. (2) The gift-tax payable by an assessee shall in no case be less than the amount of the gift-tax which would be payable by him without giving effect to the provisions of sub-section (1). ; (c) in section 32, to sub-section (2), the following proviso shall be, and shall be deemed always to have been, added, namely:- Provided that where as a result of an order under section 22, or section 23, or section 24, or section 25, or section 26, or section 28, or section 34, the amount on which interest was payable under this section had been reduced, the interest shall be reduced accordingly and the excess interest paid, if any, shall be refunded. ; (d) in section 34, in sub-section (5), for the word and figures section 33 , the word, figures and letter section 33A shall be, and shall be deemed always to have been, substituted; (e) section 41 shall be omitted; (f) for sections 41A and 41B, the following sections shall be substituted, namely:- 41A. Publication of information respecting assessees. (1) If the Central Government is of opinion that it is necessary or expedient in the public interest to publish the names of any assessees and any other particulars relating to any proceedings under this Act in respect of such assessees, it may cause to be published such names and particulars in such manner as it thinks fit. (2) No publication under this section shall be made in relation to any penalty imposed, or any conviction for any offence connected with any proceedings, under this Act until the time for presenting an appeal to the Appellate Assistant Commissioner or to the first Appellate Court, as the case may be, has expired without an appeal having been presented or the appeal, if presented, has been disposed of. Explanation.-In the case of a firm, company or other association of persons, the names of the partners of the firm, directors, managing agents, secretaries and treasurers, or managers of the company, or the members of the association, as the case may be, may also be published if, in the opinion of the Central Government, the circumstances of the case justify it. 41B. Disclosure of information respecting assessees. Where a person makes an application to the Commissioner in the prescribed form for any information relating to any assessee in respect of any assessment made under this Act, the Commissioner may, if he is satisfied that it is in the public interest so to do, furnish or cause to be furnished the information asked for in respect of that assessment only and his decision in this behalf shall be final and shall not be called in question in any court of law. ; (g) in section 42, after the words lie against , the words the Government or shall be inserted; (h) for the Schedule, the following Schedule shall be substituted, namely:- THE SCHEDULE [See section 3] Rates of GIFT-TAX Rate of gift-tax (1) On the first Rs. 5,000 of the value of all taxable gifts . . 4% (2) On the next Rs. 15,000 of the value of all taxable gifts . . 8% (3) On the next Rs. 25,000 of the value of all taxable gifts . . 15% (4) On the next Rs. 1,00,000 of the value of all taxable gifts . . 25% (5) On the next Rs. 2,00,000 of the value of all taxable gifts . . 40% (6) On the balance of the value of all taxable gifts . . 50% .