51. ITO vs. Dr. Satish Natwarlal Shah
ITA No. 379/Ahd./2020 (Ahemadabad-Trib.)
A.Y.: 2012-13
Date of order: 19th October, 2022
Section: 56(2)(v)
There need not be any “occasion” for receipt of gift by the assessee from his relative.
FACTSA doctor by profession, the assessee filed his return of income for A.Y. 2012-13, declaring a total income of Rs. 16,34,278. In the course of assessment proceedings, the (AO) noticed that the assessee had received a gift of Rs. 3,12,24,009, of which Rs. 2,61,82,207 were shares of various companies, and the balance was a monetary gift. The assessee had also gifted Rs. 1,06,65,848 to his relatives. The AO sought an explanation from the assessee regarding the gifts received and given.
The assessee replied that the gift, in the form of shares and debentures of Rs. 2,61,82,207 was received by him on 4th October, 2011 from his brother Sanjay N. Shah, residing in the U.S.A. Also, the amount of Rs. 44,00,000; Rs. 13,436 and Rs. 1,736 were received by him on 25th November, 2011, 2nd January, 2012 and 4th January, 2012, respectively from his brother Sanjay N. Shah. To substantiate this, he filed a declaration of the gift from his brother that they had been made out of natural love and affection.
The AO noticed that the assessee had gifted Rs. 53,71,016 to Seema S. Shah; Rs. 26,71,238 to Shailja S. Shah and Rs. 7,53,138 to Sapna S. Shah, the three daughters of his brother Sa
