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2016 (4) TMI 333 - AT - Wealth-taxAddition to the declared value of the jewellery while framing the assessment - Requirement of obtaining report of registered valuer for value of jewellery exceeding ₹ 5 lakhs - Held that:- It is seen from the records and has also been found by the Assessing Officer as correct that the valuation of stones in the wealth tax return in respect of valuation date as on 31.3.12 has been based on the last valuation report on 31.03.08. Hence, we agree with the contention of the Ld. AR that as per the procedure for valuation spelt out in Circular No. 646 of 1993, the assessee is permitted to use the valuation report given by an approved valuer for a particular year for next four years with appropriate adjustment only for the change in value of metal contained in jewellery. Hence, the assessee cannot be held at fault for not including appropriate adjustment/appreciation for the change in value of stones. No hesitation in holding that Circular No. 646 dated 15.3.93 issued by the CBDT which lays down that where the jewellery includes gold or silver or any alloy containing god or silver, the value of such gold or silver or alloy as on the valuation date relevant to the subsequent year shall be substituted for the value of such gold or silver or alloy on the valuation date relevant to the first Assessment Year. This, in effect, would mean that in the valuation of jewellery, the value of the metal, be it gold, silver or alloy, will have to be substituted every year whereas for the other items in the jewellery, the value as per the valuation report can be continued to be taken for a period of four years at the same valuation.is binding on the revenue authorities. In view of our findings, we delete the addition made to the declared value of the jewellery while framing the assessment. by the Assessing Officer. - Decided in favour of assessee
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