Gift Tax Act, 1958. - Income Tax - 206/CBDT

INSTRUCTION NO 206/CBDT, Dated: August 17, 1970 Section(s) Referred: 4 Statute: Gift Tax Act, 1958 The supreme court, vide their judgement dated 5-5-70 in the G.T.case of Goli Eswaraiah vs. Commissioner of Gift tax, Andhra Pradesh, have decided that the declaration by which the assessee has impressed the character of joint hindu family property on the self-acquired properties owned by him does not amount to a transfer so as to attract the provisions of the Gift tax Act. The judgement has since been reported in 76 ITR at page 675. In supersession of all previous instructions issued by the Board on the subject mentioned above, the Board desire that all the departmental appeals before the ITATs and High courts on the point now settled by the Supreme court should be withdrawn forthwith and in the appeals filed by the assessee the point should be conceded. Necessary instructions in this regard may be issued by the Commissioners of Gift tax and the Gift-tax officers may be asked to note the position of law as stated by the Supreme court.