9911796707
TMI Blog2019 (5) TMI 863X X X X Extracts X X X X X X X X Extracts X X X X ..... Wealth Tax has held that original order passed by The WTO u/s 16(3) read with section 17 of the Wealth Tax Act assessing total wealth of the assessee of Rs. 1433854/-, 2461070/-, 2354720/- and Rs. 2385060/- for respective years are erroneous and prejudicial to the interest of revenue. The grounds of appeal for all the four years are similar as under:- "1. That the notice issued U/s 25 and the Order passed U/s 25(2) of the Wealth-tax Act, 1957, both are illegal, bad in law and without jurisdiction. 2. That the Commissioner of Wealth Tax has failed to appreciate that there is no erroneous committed by the AO while passing the Wealth-tax Order and there is no prejudice caused to the Revenue, hence, the order passed by the Commissioner of W ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nt Year 2004-05:- "1. That order passed u/s 25(2) cancelling the assessment passed u/s 16(3) r.w. 17 is illegal, bad in law and without jurisdiction as notice issued u/s 17 and assessment framed r.w. 17 is illegal, bad in law and without jurisdiction." 3. During the course of hearing the assessee has filed an application for admission of additional grounds of appeal stating that the order passed u/s 25(2) cancelling the assessment passed u/s 16(3) read with Section 17 is illegal, bad in law and without jurisdiction as original notice issued u/s 17 and consequent assessment framed u/s 63 read with section 17 is illegal, bad in law and without jurisdiction. 4. The ld AR adverting to the application for admission of additional ground of ap ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... adjudicate the same. 7. The assessee is an individual. In Nimitya Group of Cases a search operation was carried out on 0611.2008, therefore, the assessee was issued notice u/s 17 of the Wealth Tax Act on 01.10.2010 for Assessment Year 2003-04 for the valuation date dated 31.03.2003. The assessee submitted returned of Wealth on 15.12.2011 declaring net wealth of Rs. 1433854/-. Notice u/s 16(2) of the Act was issued on 15.12.2011 and total Wealth was assessed at Rs. 1433854/- as per order passed u/s 16(3) read with Section 17 of the Act on 26.12.2011. Subsequently, the ld CWT examined the records and he found that the ld WTO has accepted the property valuation at Chawla, Nazafgar gate at Rs. 24686500/- which was claimed exempt by the assess ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ch is under challenge before us. 8. The ld AR submitted that assessment of the assessee was reopened by issue of notice u/s 17 of the Wealth Tax Act without recording any reason for reopening and therefore, the original order passed u/s 16(3) read with Section 17 dated 26.12.2011 itself is bad in law and consequent revision of such order itself is bad and liable to be quashed. 9. The ld DR vehemently opposed the arguments of the assessee and submitted that in the revisionary proceedings u/s 25 of the Act the assessee does not have any right to object to the original order passed by the ld WTO. He submitted that if the grievance of the assessee is so then appeal against the order passed u/s 16(3) of the Wealth Tax Act should have been file ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he argument of the ld AR in challenging the validity of the assessment which is subject to revision. 12. Now as per the earlier order of the coordinate bench in this appeal on the order sheet it was found that the original records were required to be produced by the department. Such records were produced before us by the ld CIT DR. On request to show the reasons recorded for issue of notice u/s 17 based on which the assessment u/s 16(3) was made, the ld CIT DR could not show us such reasons recorded from the records. Order sheet of the assessment proceedings also did not show that any such reasons were recorded by the WTO. In view this, it is apparent that the original order passed u/s 16(3) of the Act read with section 17 of the WTA Act i ..... X X X X Extracts X X X X X X X X Extracts X X X X
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