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2014 (11) TMI 1198 - HC - Wealth-taxUrban land chargeable to wealth tax - Tribunal held that agricultural land within the municipality are subjectable to Wealth Tax being a part of the assets as defined under Section 2(ea) of the Wealth Tax Act - Whether "urban land" would not include land, on which construction of a building is not permissible under any law for the time being in force in the area ? - HELD THAT:- The land of the assessee is agricultural land though situated in the municipal limits of M.C. Shimla. No construction is permissible in the forest land without the permission of the Municipal Corporation Building Bye-laws and Town and Country Planning Act. The intention of the legislature appears to be that the land which falls within this exception would have to be excluded from the ambit and scope of the expression "urban land". Thus, the land owned and possessed by the assessee would not fall within ambit of the Section 2(ea)(b) and the learned Authorities were also not right in coming to the conclusion that the construction was possible on the lands covered by the trees. The land on which the trees are standing cannot be treated at par for the purpose of market value with the land on which the construction is possible. The land on which the trees are standing, construction is not possible without seeking permission from the competent authorities and thus the market value of this land would be lower. The substantial questions of law are answered accordingly.
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