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(7) Where such person becomes a partner, -
(a) his rights and liabilities as a minor continue up to the date on which he becomes a partner, but he also becomes personally liable to third parties for all acts of the firm done since he was admitted to the benefits of partnership, and
(b) his share in the property and profits of the firm shall be the share to which he was entitled as a minor.
(8) Where such person elects not to become a partner, -
(a) his rights and liabilities shall continue to be those of a minor under this section up to the date on which he gives public notice,

21. Now, the next question is whether a gift can be implied in the circumstances like the present because of the provisions of the Gift-tax Act. The first relevant provision is section 2(xii) which defines "gift" to mean the transfer by one person to another of any existing movable or immovable property made voluntarily and without consideration. As seen above, this partnership by which the minor was admitted to the partnership does not include any transfer of movable or immovable property to that minor.

22. If we now turn to the definition of "transfer of property" in section 2(xxiv), we find that the definition is as follows :

"'transfer of property' means any disposition, conveyance, assignment, settlement, delivery, payment or other alienation of property and, without limiting the generality of the foregoing, includes -
(a) the creation of a trust in property;
(b) the grant or creation of any lease, mortgage, charge, easement, license, power, partnership or interest in property;

23. The relevant portion of this definition is to grant or create any partnership or interest in property. It could well be argued that by making a partnership deed, there has been a disposition, conveyance or assignment of an interest in the firm's property. As already analysed, a minor does not become a partner. He can become a partner after he attains majority under the provisions of section 30 of the Partnership Act. But, he may refuse to become a partner as he has an option. So, it cannot be said that any interest in the property of the firm has been transferred by his mere admission to the benefits of the partnership which are restricted in this case to the enjoyment of 40% of the profits. It would be quite another case if some benefit in the property of the firm had also been transferred to the minor under section 30(2) of the Act.