Home Case Index All Cases Wealth-tax Wealth-tax + AT Wealth-tax - 2016 (5) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (5) TMI 1246 - ITAT AMRITSARAgricultural lands within the ‘Urban agglomeration’ or within the notified area limits - whether would not falll within the ‘Scope & Domain’ of the terminology ‘Asset” as contemplated u/s 2(ea)(v) of the W.T.Act, 1957? - Held that:- The legislature has, by virtue of the Finance Act, 2013, introduced the amendment to section 2(ea)(v) with retrospective effect from 01.04.1993. This amendment by way of Explanation 1(b)(ii) – section 2(ea)(v), is as follows (relevant extract) “but does not include land classified as agricultural land in the records of the government and used for agricultural purposes….” The appeals pending before us pertain to assessment years 2004-05 to 2006-07. In view of the above, all the appeals of the assessees are squarely covered by the aforesaid retrospective amendment brought in by the legislature in the Wealth Tax Act. Therefore, agricultural lands are no longer ‘assets’ (within the amendment of section 2(ea)(v) of the Act), because of the retrospective amendment brought in. As such, they are not exigible to Wealth Tax Act. Action of the AO in including the value of the assessees lands in their net wealth, is reversed. Accordingly, the orders passed by the ld. CWT(A), confirming this action are also reversed.- Decided in favour of assessee.
|