9911796707
TMI Blog1994 (9) TMI 20X X X X Extracts X X X X X X X X Extracts X X X X ..... ax under the Gift-tax Act, 1958 ? " The facts necessary for the decision of the aforesaid question are that the assessee was the karta of a family which consisted of his two sons and two unmarried daughters. In a partition between the father and sons, the father was given a larger share, i.e., 18.47 acres of land and a house as against 9.82 acres of land only to each of the two sons. It is stated that the larger share to the father was because of the obligation of the family to maintain and marry off unmarried daughters. Later on, the father settled on his two unmarried daughters a part of the land held by him by settlement deeds dated May 2, 1970, and May 4, 1970. The value of this land was subjected to gift-tax treating the same as tran ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r maintenance and marriage. The court, on a detailed consideration, was of the opinion that the discharge of liability for maintenance and marriage was a valid consideration and, therefore, the matter is well within section 2(xii) of the Gift-tax Act. The submission of learned counsel for the Department, however, is that this was a case of transfer of joint family property where the father had admittedly an obligation to maintain the unmarried daughter. The position, according to learned counsel, in the instant case, is different. The assessee as father has in the instant case discharged his obligation under section 20 of the Hindu Adoptions and Maintenance Act, 1956. We are unable to see the distinction as aforesaid. The point under consid ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ore, the instant transaction will be covered by the first part of the definition of gift under section 2(xii) of the Gift-tax Act. This was a case under section 16 of the Indian Income-tax Act, 1922, and the point for consideration was whether the consideration was adequate. The opinion of this court was that the consideration was a good consideration, but not adequate consideration. We are not concerned with the adequacy or otherwise of the consideration. Indeed, the finding that the consideration was adequate has become final and has got to be accepted as such. This decision would, therefore, indicate that the discharge of liability for maintenance and marriage of unmarried daughters would be a consideration. Whether that consideration wo ..... X X X X Extracts X X X X X X X X Extracts X X X X
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