Law: Transfer of Property Act, 1882

Section: 123,129

Law: Wealth Tax Act, (XV of 1963)

Section: Preamble,16

Transfer of Property Act (IV of 1882)---Ss.123 & 129---Wealth Tax Act (XV of 1963), Preamble---Oral gift---Transfer of property how effected---Contention of the Department was that oral gift had not created any title in the name of the donees on account of non-registration of instrument of gift under S.123 of the Transfer of Property Act, 1882---Validity---Under the provisions of S.129 of Transfer of Property Act, 1882 the gift of immovable property made under Islamic Law was expressly excluded from registration. (b) Transfer of Property Act (IV of 1882)--- ----Ss.123 & 129---Wealth Tax Act (XV of 1963), Preamble---Oral gift---Transfer of property how effected---Registration---Registration of documents/written instrument in any case would not create a gift but was merely an evidence of gift and as such would not require registration as under. Islamic Law, it is essential to the validity of a gift that there should be a declaration of gift by the donor; an acceptance of the gift, express or implied, by or on behalf of the donee, and delivery of possession of the subject of the gift by the donor to the donee either actually or constructively---If said conditions were complied with the gift was complete. (c) Wealth Tax Act (XV of 1963)--- ----S.16---Assessment---Oral gift---Registration---Property transferred by oral gift was added in the wealth of assessee---First Appellate Authority rejected the appeal of the assessee on the ground that the oral gift did not create any title in the donees in the absence of gift's registration as the gifted shares in the property could not be alienated by the donees-- ­Validity---Donees had admittedly declared the income generated acquired through their share of subject property in their income-tax returns and therefore, property for the purpose of wealth tax could not be taxed in the hands of the appellant/assessee---Appellate Tribunal disagreed with the view that gift did not create any legal right in the property without registration---Registration did not create the title but was only mode of confirmation of the title---Title of the property had been transferred through oral gift which was acceptable under the…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492