COMMISSIONER OF GIFT TAX, ERNAKULAM vs ABDUL KARIM MOHD. (DEAD) BY LRS.

The Supreme Court held that a gift made in contemplation of death does not require explicit conditions in the deed for it to be valid under Section 5(1)(xi) of the Gift Tax Act, 1958. The Court affirmed that the circumstances surrounding the gift, including the donor's serious illness and subsequent death, were sufficient to establish the gift's validity. The appeal by the Department was dismissed, confirming that the exemption under the Gift Tax Act applies as per Section 191 of the Indian Succession Act, 1925.