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2015 (2) TMI 51 - AT - Wealth-taxEnhancement in value of land - Whether the first appellate authority has erred in confirming the addition made by the AO towards enhancement in the value of the land owned by the firm where the appellant is a partner - Held that:- Tribunal has upheld the first appellate order in that case wherein the first appellate authority had held that the Assessing Officer should have taken the value of assets as reflected in the balance-sheet. In this regard the first appellate authority had follow the first appellate order on similar additions in the earlier years wherein the first appellate authority had noted that as per Rule 14 of Schedule III for valuing asset of business Sub Rule 2 (ii) of Rule 14 states “ in the case of an asset on which no depreciation is admissible, its book value.” Respectfully following the above decisions in the present appeals we hold that the land being used as business asset, its value was to be determined as per Rule 14 and not as per Rule 20 of Schedule III. Consequently, the orders of the authorities below on the issue are set aside with the direction to the AO to delete the addition made on account of enhancement in the value of land owned by the Firm where the appellant is a partner. - Decided in favour of assessee.
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