TMI Blog2013 (8) TMI 221X X X X Extracts X X X X X X X X Extracts X X X X ..... KARNATAKA HIGH COURT) - The intention of the Legislature appears to be to tax the wealth either in the form of urban land or in the form of a house – the flat was purchased in an incomplete condition and was yet to be fully completed - there can be no doubt that the construction was yet to be completed – Order set aside to the aforesaid extent - The matter shall now go back for reassessment – Decided in favor of revenue. - AWT 1 OF 2012 , GA 2711 OF 2012 - - - Dated:- 14-3-2013 - GIRISH CHANDRA GUPTA AND TARUN KUMAR DAS , JJ. For the Appellant : P. Dudheria. For the Respondent : P. Bag. ORDER:- The Court : The subject matter of challenge in this appeal is an order dated February 21, 2012, by which the learned Tribunal, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... by any other name) or a cantonment board and which has a population of not less than ten thousand according to the last preceding census of which the relevant figures have been published before the valuation date; or (ii) in any area within such distance, not being more than eight kilometres from the local limits of any municipality or cantonment board referred to in sub-clause (i), as the Central Government may, having regard to the extent of, and scope for, urbanisation of that area and other relevant considerations, specify in this behalf by notification in the Official Gazette. but does not include land on which construction of a building is not permissible under any law for the time being in force in the area in which su ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... are concerned in the case on hand with regard to the lands occupied by any building which has been constructed with the approval of the appropriate authority. Approval by appropriate authority is not disputed. What is argued before us is that since the building is being constructed, the same is exempt for the purpose of wealth-tax in terms of the meaning to be given to urban land. A careful reading of the said definition would show that what is excluded is the land occupied by any building which has been constructed [Emphasis supplied]. Admittedly, in the case on hand, the building is not fully constructed. It is in the process of construction. Building in the process of construction cannot be understood as a building which has been constr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... submissions. We are of the opinion that the view expressed by the Karnataka High Court is preferable. The intention of the Legislature appears to be to tax the wealth either in the form of urban land or in the form of a house. The contention is that the flat was purchased in an incomplete condition and is yet to be fully completed. In that case, there can be no doubt that the construction is yet to be completed. If the construction is partly completed or the building is under construction, in that case the exception engrafted in the definition of the words "urban land" does not get attracted. In that event, the urban land or undivided interest, of the assessee, therein continues to be open for taxation within the category of urban land. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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