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Commissioner Of Income-Tax vs Jagatram Ahuja on 25 April, 1988

In coming to this conclusion, the CGT(A) relied upon the decision of the Andhra Pradesh High Court in the case of CIT vs. Jagatram Ahuja (1988) 172 ITR 632 (AP), and also placed reliance on the decision of the apex Court in the case of CIT vs. Chhotalal Mohanlal (1987) 166 ITR 124 (SC), M. H. Kuppuraj vs. CGT 1 (1985) 153 ITR 481 (Mad) and the Bombay High Court decision in the case of CGT vs. V. Premji Trikamji Jobanpatra (1982) 133 ITR 317 (Bom). The assessees plea alternatively was that assuming that release of interest in favour of the limited company (which tookover all the assets and liabilities of the firm for an agreed consideration), is deemed to be a gift, then it would be entitled to exemption under s. 5(1) (xiv) of the GT Act. This gift was in recourse of carrying on business and was in pursuance of the transfer of the business and, therefore, exemption would be available to the assessee.
Andhra HC (Pre-Telangana) Cites 33 - Cited by 4 - B P Reddy - Full Document
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