Home Case Index All Cases Wealth-tax Wealth-tax + HC Wealth-tax - 2005 (9) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2005 (9) TMI 58 - HC - Wealth-taxNet Wealth - "Whether Tribunal was justified in holding that deduction of the liability to the tune of Rs. 12 lakhs being security deposit against the property let out was allowable even after giving a specific finding that the assessee did not owe any loan or debt in relation to the property let out and in the face, the specific provisions of section 40(2) of the Finance Act, 1983 whereby only those debts can be allowed which are secured on or which have been incurred in relation to assets upon which the wealth-tax is chargeable as per sub-section (3) of the said section 40 of the Finance Act, 1983?" – held that assessee cannot be denied the benefit for the past years. Accordingly the Tribunal opined that the said deposit of Rs. 12 lakhs should be treated as a liability in the assessment year in question against the assets of the assessee and the Assessing Officer should allow deduction of the liability of Rs. 12 lakhs from the net wealth – no infirmity in tribunal’s order
|