COMMISSIONER OF GIFT TAX, BOMBAY ETC. vs SMT. KUSUMBEN D. MAHADEVIA ETC.

The Supreme Court held that the method of valuation of shares for Gift Tax purposes is not a question of law that requires reference to the High Court if it is self-evident or concluded by prior decisions, specifically referencing the case of Commissioner of Wealth Tax v. Mahadeo Jalan. The Court found that the profit earning method was appropriate for the valuation of shares in a private limited company that was a going concern, rejecting the Revenue's appeal for a different method. The High Court's refusal to call for a reference was upheld, affirming the Tribunal's decision.