Important Wealth Tax Cases Law for Ca Final Dt Nov 2011

wealthiness impose FOR NOV 2011 EXAM 2011 TMI 203374 PUNJAB AND HARYANA HIGH royal court Rajiv Kumar. Versus Commissioner of riches Tax. Urban solid ground Agricultural come the thing is cover against the assessee by localise of this Court dated 8. 9. 2003 in W. T. A. No. 1 of 2003 in Jagraj Singh Mann v. CWT, Patiala & another Decided against the assessee . .. 04. 1993 for charging the wealth tax? iii) Whether the auberge is sustainable by not appreciating that as per Article 246 r. w. List-1 of 7th Scheduled occurrence No. 6 the tax on the capital value of agrarian democracys can not be levied by the Parliament and hence the explanation rendered is unconstitutional? Learned counsel for the assessee fairly states that the matter is cover against the assessee by order of this Court dated 8. 9. 2003 in W. T. A. No. 1 of 2003 in Jagraj Singh Mann v. CWT, Patiala & another. Accordingly, these bring ups argon dismissed. A photocopy of this order be set on the file of each(prenominal) connected occurrence. 2011 TMI 203338 PUNJAB AND HARYANA HIGH hook Commissioner of wealthiness Tax. Versus S/Shri Kulbir Singh & Rajinder Singh.Assets u/c 2(ea)- The pull in of the Revenue by ignoring that infra the sustenance of section 2(ea) of the wealth-tax Act the urban land is included in the rendering of assets w. e. f. 01. 04. 1993 and on merits the value of such urban land was taxable The Assessing incumbent included the awkward. .. with the judgment of the Full bench of this Court. 5. On merits, visual modality has already been taken in privilege of the tax income by order passed today in W. T. A. No. 31 of 2010 Tara Singh v. Commissioner of Wealth Tax and so forth 6. In fancy of judgment of Full judicatory of this Court in M/s Varindera Construction Co.Baghapurana, we are of the view that the impugned order of the judiciary cannot be sustained and the same is set aside. The matter is remanded to the motor lodge for impertinently de cision on merits. It is made clear that if the assessee is aggrieved by this order, they will be at liberty to approach this Court. The appeal is wedded of. 2011 TMI 203319 PUNJAB AND HARYANA HIGH chat up Smt. Surinder Kaur. Versus The Commissioner of Wealth Tax & another. Assets u/s 2(ea)- Agricultural Land of which agricultural act were being carried off Hence, the matter is covered against the assessee by order of this Court dated 8. . 2003 in Jagraj Singh Mann v. CWT, Patiala & another Accordingly, these appeals are dismissed. .. stantial dubiety of law- i) Whether in the facts and mint of the case, the Income Tax Appellate Tribunal was pay in law in suss outing that the arm 2(ea) of the Wealth Tax Act would include the Agricultural Land of the Appellant of which agricultural operation were being carried out? Learned counsel for the assessee fairly states that the matter is covered against the assessee by order of this Court dated 8. 9. 2003 in W. T. A. No. 1 of 2 003 in Jagraj Singh Mann v.CWT, Patiala & another. Accordingly, these appeals are dismissed. A photocopy of this order be placed on the file of each connected case. 2011 TMI 203253 PUNJAB AND HARYANA HIGH COURT Commissioner of Wealth Tax. Versus S/Shri Kulbir Singh & Rajinder Singh. Assets u/s 2(ea)- The Assessing Officer included the agricultural land falling beneath the definition of Urban land and asset under(a) Section 2(ea) for assessment under the Act CIT(A) deleted the addition ITAT refused to entertain the appeal on the ground that amount is small Held that the. .. ith the judgment of the Full Bench of this Court. 5. On merits, view has already been taken in favor of the revenue by order passed today in W. T. A. No. 31 of 2010 Tara Singh v. Commissioner of Wealth Tax etc. 6. In view of judgment of Full Bench of this Court in M/s Varindera Construction Co. Baghapurana, we are of the view that the impugned order of the Tribunal cannot be sustained and the same is set aside. The matter is remanded to the Tribunal for fresh decision on merits. It is made clear that if the assessee is aggrieved by this order, they will be at liberty to approach this Court.The appeal is disposed of. 2011 TMI 203386 DELHI HIGH COURT Commissioner of Wealth-tax Delhi-VI Versus Motor & General Finance Ltd. Assessement (a) Whether on the facts and circumstances of this case, is it mandatory to issue nib under section 16(5) of the Wealth-tax Act sooner firing best judgment assessment in case where damages was not filed pursuant to notice under section 16(4) of the Act? (b) Whether no notice unde. .. f the relevant stratum has gone through various(a) rounds of litigation before the authorities infra because of no fault of the revenue. 2. In view of our higher up discussion we resolve question (a) in the ban that where return was not filed pursuant to notice under section 16(4) of the Act, no further notice was mandatory under section 16(5) prior to passing o f best judgment assessment. We answer the routine question in approbative in the sense that where notice under sub-section (4) of section 16 had already been issued, no notice was required to be issued in view of befriend proviso to section 16(5). Both the appeals are disposed of accordingly. 011 TMI 203069 DELHI HIGH COURT Commissioner of Wealth-tax Versus. Motor and General Finance Limited U/s 17 of the Wealth-tax Act, 1957 The assessee is in receipt of amount from various properties and had shown rental receipts of Rs. 6,14,36,188 (assessment division 1997-98) and Rs. 2,34,18,846 (assessment 1998-99) The assessee had not filed the wealth-tax returns for these years and there being t. .. levant year has gone through various rounds of litigation before the authorities under because of no fault of the Revenue. 22.In view of our above discussion we answer question (a) in the negative that where the return was not filed pursuant to notice under section 16(4) of the Act, no f urther notice was mandatory under section 16(5) prior to passing of best judgment assessment. We answer the second question in the affirmative in the sense that where notice under sub-section (4) of section 16 had already been issued, no notice was required to be issued in view of the second proviso to section 16(5). Both appeals are disposed of accordingly. 2011 TMI 202991 ALLAHABAD HIGH COURTCommissioner Of Income Tax Versus Late Sri Salekh Chand Through intelligent Heirs Smt. Uma Rani& Ors Whether asset to be assessed in the hands of each of the co-owners separately and not in the hands of A. O. P. similar questions were referred in Wealth Tax Reference No. 134 of 1999 which were answered in affirmative i. e. in favor of the assessee and against the Revenue matter remanded to Tribuna. .. ) (b) of the W. T. Act are applicable in this case rather than Section 21-AA? 3.? Assessment Years 1986-1987 and 1987-1988? re involved in all these references. 4. The counsel for the part ies overly state that similar questions were referred in Wealth Tax Reference No. 134 of 1999 which were answered in affirmative i. e. in favour of the assessee and against the Revenue on 12. 7. 2007. 5. In view of the answer given therein, we also answer the questions referred to us in affirmative i. e. in favour of the assessee and against the Revenue. 6. allow our opinion be sent back to the Tribunal for passing sequester orders. 2011 TMI 203435 PUNJAB AND HARYANA HIGH COURTCommissioner of Wealth-tax Versus Shri Charanjit Singh (HUF) Agricultural land beyond municipal limits the land measuring 66 kanals 2 Maras is situated beyond the notified distance of 3 kms from municipal limit and as such it is not asset indictable to wealth-tax with in the meaning of clause (ea) of section 2 . .. he CWT(A) and the Tribunal have concurrently recorded a finding of fact that the land in question was beyond the notified distance from the municipal limits, the fact cadaver that in the c ase of brother of the respondent-assessee, the revenue has accepted the finding of the CWT(A). . In view of above, we do not find any ground to hold the finding of the Tribunal to be perverse. The question No. 1 has, thus, to be answered against the revenue and in favour of the matter has been decided in favour of the assessee in the order mentioned above, the said question has also to be answered against the revenue. Accordingly, the appeal is dismissed. 2011 TMI 203105 HIMACHAL PRADESH HIGH COURT Commissioner of Wealth Tax Versus. M/s. H. P. Small Industries & trade Corp.Assets u/s 2(ea) The assessee which is the State Small Industries and Export Corporation was deal out some land by the State The assessee constructed sheds on this land and rented out the same to industrialists The Assessee in its return of income included the rents received on accounting of t. .. never raised before any of the authorities below and further more we are of the view that the words of clause (iii) of Section 2(ea) indicate that the house to be exempt must be in the occupation of the ssessee for the purpose of any business or profession carried on by him. Keeping in view the language of the Section it cannot be said that the assessee was in possession through the tenants. In view of the above discussion, the questions are answered in favour of the Revenue and against the Assessee. The order of the Tribunal is hold and the order of the Assessing Officer as confirmed by the Commissioner (Appeal) is restored. No costs. GANESANRAMAN CA FINAL CHENNAI