9911796707
TMI Blog2021 (5) TMI 820X X X X Extracts X X X X X X X X Extracts X X X X ..... rred to as "Act") for the A.Ys. 2008-09 to 2011-12 respectively. 2. The facts and issues involved in all the four appeals under consideration are identical and therefore the same have been taken simultaneously for adjudication by this composite order. For the sake of brevity, the facts of WTA No. 09/VIZ/2019 are to be quoted for adjudication and the result of the same should be applicable mutatis mutandis to all the appeals under consideration. 3. In this case, the Assessee claimed exemption of the assets u/s. 2(ea)(i)(3) of the Act, which was not accepted by the AO and the AO computed the net wealth of the assets of the Assessee to the tune of Rs. 1.80 crores by holding as under:- "6.1. Rule 3 of Schedule III of the Wealth Tax Act pres ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2. In the instant case, the applicability of Rule 3 is tested as under (adopting one s.ft. as equivalent to 0.11111 sq.yard): PROPERTY DESCRPTION D.No. 30-15-173 at Dabagardens, Visakhapatnam. Area of Total land 615.5 Sq.Yds. Area of Building 38.78 sq.yds. (349 sft = 38.7778 sq.yds.) Aggregate Area (A.A.) 615.5 20% of A.A. 123 Specified Area (S.A.) (70% of AA) 430.8 Unbuilt Area (U.B.A.) (AA-Building Area) 576.7 UBA-SA 145.9 (UBA-SA)>20%A.A. Yes Rule 3 Applie (Y/N) NO 6.3. As can be seen from the above, Rule 3 Is not applicable for valuing the impugned asset. In such a case, reference is to be made to Rule 20 for necessary valuation. For thi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the business purpose. However, it is seen that the information relates to later period and not the relevant assessment years under consideration. As the appellant failed to prove the point that the relevant property was utilised for business purpose, no exemption u/s. 2(ea)(i)(3) can be allowed. 8.2 The appellant also claimed exemption u/s. 5(1)(vi) of the Wealth Tax Act. On perusal of the facts on record, it is seen that the small structure standing on the piece of land is in a dilapidated condition. The photographs of the property, forming part of the assessment order, confirm the position. The old and dilapidated structure has two parts. One part of the structure is without any roof. The other part of the structure is covered with smal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... perused the material available on record. We may observe that the AO while determining the value of the assets and net wealth, thoroughly considered the photographs of the property/assets submitted by the Assessee and the value of the entire assets including the land and building as determined by the Sub-Registrar, Visakhapatnam who had adopted a comprehensive value of Rs. 1.95 crores for both the land and structures vide registration deed dated 20/02/2008. The AO also tested the applicability of the Rule 3 of Schedule III of the Wealth Tax Act to the facts of the Assessee's case. 6.1. The Ld. Commissioner considered the Form No. 23AC submitted by the Assessee to the ROC and observed that from the record, it is seen that small structure st ..... X X X X Extracts X X X X X X X X Extracts X X X X
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