Tax Management India. Com
Law and Practice  :  Digital eBook
Research is most exciting & rewarding
  TMI - Tax Management India. Com
Follow us:
  Facebook   Twitter   Linkedin   Telegram

TMI Blog

Home

2017 (11) TMI 214

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... r the purpose of wealth tax. During the previous year relevant to the assessment year, the A.O., found that the assessee has not offered the amount of Rs. 92,50,178/- paid to HUDA and Rs. 4,12,206/- paid to Noida plots for wealth tax. In the earlier years, the A.O. included the above amounts for wealth tax purpose and the assessee accepted the same. Therefore, the A.O. held that the payments made are liable for wealth tax and accordingly made the addition of Rs. 96,62,384/- to the admitted net wealth of Rs. 19,28,500/- and assessed the total net wealth of the assessee at Rs. 1,00,90,880/-. The assessee went on appeal before the CIT(A) and the CIT(A) confirmed the addition made by the assessing officer. Therefore, the assessee is in appeal b .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... 2.4.2004, which is relevant to the assessment year under consideration. Only the final allotment was made on 8.6.2005. No sooner the full payment was made, the assessee has right on the plot, which requires to be included in the net wealth. Similarly, in the case of Noida plot also, though it was acquired on lease agreement, it was an asset which was not disputed by the assessee as the same was taken on lease for a period of 90 years. The payment was made much earlier by the assessee. Hence, the advance given by the assessee for taking the lease of plot should be considered for inclusion in net wealth. The Ld. D.R. argued that both the A.O. and the CIT rightly assessed the advances paid for purchase of plots amounting to Rs. 96.62 lakhs to .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... use meant exclusively for residential purposes and which is allotted by a company to an employee or an officer or a director who is in whole-time employment, having a gross annual salary of less than five lakh rupees; (2) any house for residential or commercial purposes which forms part of stok-in-trade; (3) any house which the assessee may occupy for the purposes of any business or profession carried on by him; (4) any residential property that has been let-out for a minimum period of three hundred days in the previous year; (5) any property in the nature of commercial establishments or complexes;" 5. From the plain reading of section 2(ea) of the W.T. Act, the taxable assets are the building or land appurtenant thereto, motor ca .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

 

 

 

 

Quick Updates:Latest Updates