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TMI Blog2015 (2) TMI 215X X X X Extracts X X X X X X X X Extracts X X X X ..... he Ld. Commissioner of Wealth Tax (Appeals) has erred in law and on facts and circumstances of the case in confirming the addition made by the Ld. Assessing Officer towards enhancement in the value of land owned by the firm where the appellant is a partner which enhancement is on an arbitrary basis. 2. That the Ld. Commissioner of Wealth Tax (Appeals) has erred in law and on facts and circumstances of the case in holding that the valuation of land has to be made in accordance with Rule 20 of Schedule III of the Wealth Tax Act 1957. 3. That the Ld. Commissioner of Wealth Tax (Appeals) has erred in law and on facts and circumstances of the case in not valuing the interest of the appellant in the firm in accordance with Part E comprising of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ule III of the Wealth Tax Act 1957. 3. That the Ld. Commissioner of Wealth Tax (Appeals) has erred in law and on facts and circumstances of the case in not valuing the interest of the appellant in the firm in accordance with Part E comprising of Rule 15, 16 read with Rule 14 of Schedule III of the Wealth Tax Act 1957. 4. That the Ld. Commissioner of Wealth Tax (Appeals) has erred in law and on facts and circumstances of the case in relying on his order passed in Appeal No. 140/09-10 in the case of Sahara India Finance & Investment Ltd. for the A.Y. 2006-07, the facts and circumstances of which were entirely different and. is wrong in confirming the action of the Ld. Assessing Officer in taking increased value of land to be the taxable int ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r dated 31.7.2013 in WTA No. 3&4/D/2013 (A.Yrs. 2008-09 & 2009-10) in the case of Subrata Roy Sahara vs. DCWT has adjudicated the issue as under:- "5. On perusal of the orders of the authorities below, we find that the Assessing Officer has added a sum of Rs. 1, 07,142/- in A.Y 2008-09 and Rs. 1,40,943/- in A.Y 2009-10 to the wealth of the appellant by enhancing the value of the land owned by the Firm where the appellant is a partner thereby increasing the share of the appellant in the taxable wealth. The A.O had applied Rule 20 of the Schedule III of the Wealth Tax Act 1957 whereas contention of the assessee remained that valuation of the interests of the appellant in the Firm should have been assessed in accordance with the Part E compri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ental Representative as well as the assessee's counsel. The Ld. Departmental Representative first of all submitted that the Assessing Officer, while determining the value of immovable properties, has adopted the rates as declared in the valuation report furnished by the assessee itself and, therefore, the Assessing Officer was justified in determining the value by exercising his powers under Rule 20 of Schedule III to the Wealth Tax Act and the CWT (A) was not justified in directing the Assessing Officer to take the value of immovable property as returned by the assessee. The counsel for the assessee, on the other hand, first of all pointed out that the valuation report relied on by the Assessing Officer was for A.Y 1994-95 as has been ment ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... :- "In this case we are concerned with the immovable property (land) being business asset of the assessee. The value of the immovable property, as business asset of the assessee has to be taken in accordance with the Rule 3 in Schedule III appended to the Wealth Tax Act. It is only if any condition under Rule 8 is satisfied, that the assessing authority could have referred to and determine the value under Rule 20. The provisions of Rule 14(2) (b) are not applicable to the present case as no depreciation is admissible to the asset being immovable property as shown in the account books of the assessee with a definite value." 7. In the light of above decisions the Tribunal has upheld the first appellate order in that case wherein the first a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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