TMI Blog1971 (11) TMI 3X X X X Extracts X X X X X X X X Extracts X X X X ..... n question on the ground that it had no previous year which could correspond to the assessment year in question. In the company's letter No. 8 dated 18th March, 1958, it was pointed out that it had been permitted to change its previous year for the purpose of income-tax from ending on the 31st March, 1957, to end on the 30th June, 1957, and by reason of such change of the previous year, no wealth-tax assessment could be made for the assessment year 1957-58 ; such an assessment in respect of the new valuation date could only be made in the assessment year 1958-59. The Wealth-tax Officer refused to accept the assessee's contention and made the wealth-tax assessment. On appeal, the Appellate Assistant Commissioner, agreeing with the assessee, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the following question of law for the opinion of their Lordships of the Calcutta High Court : " Whether, on the facts and in the circumstances of the case, and having due regard to the definition of 'valuation date' under section 2(q) of the Wealth-tax Act, 1957, the Tribunal was right in holding that no assessment could be made under the Wealth-tax Act on the assessee for the assessment year 1957-58 ? " N. D. Karkhanis, Senior Advocate (R. N. Sachthey, Advocate, with him), for the appellant. B. Sen, Senior Advocate (Mrs. Leela Guha, O. P. Khaitan and E. P. Maheshwari, Advocates, with him), for the respondent. [By its judgment dated May 2, 1968, the Calcutta High Court answered the question in the affirmative. See [1958] 69 I.T. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l was right in holding that no assessment could be made under the Wealth-tax Act on the assessee for the assessment year 1957-58 ? " The High Court answered that question in the affirmative and in favour of the assessee. Thereafter, this appeal was brought after obtaining a certificate from the High Court. But, that certificate was found to be defective as the High Court had not given any reasons in support of the certificate. Thereafter, the department obtained special leave from this court and filed Civil Appeal No. 1781 of 1971. Valuation date, as defined in the Act, at the relevant time, in section 2(q), reads : " 'Valuation date', in relation to any year for which an assessment is to be made under this Act, means the last day of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 0th June, 1957, in which case the assessment year would be 1958-59 and not 1957-58. Mr. Karkhanis appearing for the department contended that for the purpose of assessing wealth-tax one should ordinarily take the 31st March of the previous year as the valuation date. This contention would have been acceptable but for the fact that with the consent of the department the assessee had changed its " previous year " for the purpose of income-tax. Once the previous year of the assessee was changed for the purpose of income-tax it became incumbent on the part of the wealth-tax authorities to take the last date of that year as the valuation date. This is clearly required by the definition of the " valuation date " in the Act. In the result Ci ..... X X X X Extracts X X X X X X X X Extracts X X X X
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