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TMI Blog1987 (4) TMI 132X X X X Extracts X X X X X X X X Extracts X X X X ..... h, 1979, the Revenue authorities could not have increased the value of the said property in view of the provisions that are contained in s. 7(4) of the WT Act. He further submitted that the Bombay High Court in Jehangir Mahomedali Chagla & Anr. vs. M.V. Subramanian, Addl. First Asstt. CED & Ors. (1985) 45 CTR (Bom) 180 : (1985) 155 ITR 637 (Bom) have held the view that in such an eventualityIt would be reasonable to apply the provision even for an earlier year and the same view was followed by the Tribunal in a case decided and reported in 1986 Tax World, page 330. 2. In regard to the second issue, the plea was that it is not in dispute that the property is built up commercial shop and is fully let out and that the income from the said sho ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... iven very careful considerations to the arguments that have been advanced by the parties. As regards the first issue is concerned, we are of the view that the claim of the Accountable Person has to be upheld for the reason that the order of the Appellate Controller could be said to be in accordance with the provisions of law as were in existence at the time of the death of the deceased. The Appellate Court has the authority to take note of change in law subsequent to original court's decision and mould the relief in accordance therewith and this power is inherent in the very nature of the appellate jurisdiction possessed by it. Their Lordships of the Supreme Court in Banarasi Devi and Anr. vs. ITO (1964) 53 ITR 100 (SC) have clearly observe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t, in respect of the self-occupied property. 6. In respect of the let out property, the claim of the counsel for the Accountable Person is also fully justified that the deduction on account of land and building tax, Municipal tax has to be given in full and that deductions on account of repairs and collection charges would have to be allowed as are allowed under the IT Act., i.e., 1/6th for repairs and collection charges limited to 6 per cent. The net ALV has to be multiplied by a factor 100/9 which is normally applied in view of the provisions that are contained in r. 1BB of the WT Act. Had the Accountable Person survived on 31st March, 1979 then the value of the let out property would have to be arrived at on the basis of r. 1BB only for ..... X X X X Extracts X X X X X X X X Extracts X X X X
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