Law:

Section:

Section 7, read with Schedule III, of the Wealth-tax Act, 1957 - Valuation of assets - Immovable property - Assessment year 1987-88 - Whether there is no substantial or qualitative difference between rule 1BB of Wealth-tax Rules, 1957 and rules contained in Part B of Schedule III to Act in so far as valuation of house occupied by owner himself is concerned - Held, yes - Whether since question regarding valuation of house property under Schedule III of Act, could be raised by assessee in assessment proceedings, in appeals and by way of reference, it would not necessary for High Court to interfere on writ at an intermediate stage of assessment proceedings - Held, yes FACTS On dissolution of a partnership, its assets were distributed among the various partners. The assessee got a 1/9th share and, in lieu thereof, certain properties including certain house properties were allotted to him. In his return for the relevant assessment year, the assessee included the value of these assets in his net wealth. In the assessments for the earlier years, while valuing the partner's interest in the said firm, the department had sought to value the said immovable properties on the basis of their market value. The Assessing Officer reguired the assessee to show cause why value of those properties be not worked out on that method. In reply the assessee contended that since, on the relevant valuation date, the said firm was not existing and because the properties had become the separate properties of the assessee, they must be valued in accordance with Schedule III to the Act. The assessee submitted that though introduced by the 1989 Amendment Act with effect from 01-04-1989, the said Schedule was applicable even to pending proceedings relating to earlier assessment years and had to be followed. Alternatively, he submitted that the house properties had to be valued according to rule 1BB of the Wealth-tax Rules, 1957. The Assessing Officer did not accept the assessee's submissions and fixed a date for hearing. On writ: HELD Rule 1BB of the Wealth-tax Rules, 1957, provided that for arriving at gross maintainable rent, the WTO shall determine the probable rent which a house would…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492