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2017 (12) TMI 262 - AT - Wealth-taxAssessment of wealth including agricultural land - Addition made in the context of retrospective amended Explanation-1 to section (ea) of the Wealth Tax Act - Held that:- The Wealth Tax Act, 1957 defines the “assets” in clauses (e) and (ea) of section 2. The assets include the ‘urban land’ as per subclauses (i) to (v) of section 2(ea). the highlighted portion above excludes two types of land from the definition of ‘urban land’. (1) The lands need to be classified in the Government records as an Agricultural land and the same should have been used for agricultural purposes. Thus, these twin conditions are required to be fulfilled by the assessee for claim of exclusion from the definition of an ‘urban land’. The second type of land for exclusion from the definition of ‘urban land’ relates to the land on which no construction of a building was permissible under any law for the time being in force. Such lands are also allowed for claim of exclusion from the definition of ‘urban land’. The present issue for adjudication before us relates to the first type of land which deals with the twin conditions of classification of a land as an agricultural land in the Government records and use of the said land for agricultural purposes. Considering all, we are of the opinion that the order of CWT(A) is required to be reversed for both the years. Therefore, considering the principles of natural justice and also the issues of fairness, we remand this issue to the file of the CWT(A) for fresh adjudication in the matter. CWT(A) shall grant reasonable opportunity of being heard to the assessee in accordance with the set principles of natural justice. Accordingly, all the grounds raised by the Revenue are allowed for statistical purposes. Appeals of the Revenue are allowed for statistical purposes.
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