TMI Blog2021 (5) TMI 820X X X X Extracts X X X X X X X X Extracts X X X X ..... piece of land is in dilapidated condition and the photographs of the property confirms the position. Assessee failed to demonstrate the fact that the structure was used for business purpose. Assessee failed to prove the point that the relevant property was utilized for business purpose. The Ld. Commissioner further held that it is not the case of the Assessee that the property was used for residential purpose or any other meaningful purpose. Ultimately, the ld. Commissioner observed that small and dilapidated structure of the Assessee is not functionally useful and was neither utilized for business purpose nor residential purpose and therefore, the AO is justified in stating that given the size of the land/plot, section 5(1)(vi) is attra ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 9/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 ₹ 1.80 crores by holding as under:- 6.1. Rule 3 of Schedule III of the Wealth Tax Act prescribes the procedure to determine the value of an asset being in the nature of immovable property. As per Rule 8(b), the procedure laid, down under Rule 3 is not applicable where the difference between the unbuilt area and specified area exceeds 20% of the aggregate area and value of th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l 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 Ap ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3AC, submitted to the ROC, the address of the said company is different and the same is not the property under consideration. The Annual Report of the company also mentions the same address, as in Form No. 23AC. in the course of the appeal proceedings, the appellant furnished a copy of the master data of the company, maintained in MCA website, and stated that the relevant property was utilised for 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. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... appellant does not fall in the category of house and the land appurtenant to the house. 8.4 Considering the opinion, as above, the addition made by the AO is confirmed and the grounds of appeal no. 2, 3 and 4 are dismissed. 9. In the result, all the four appeals stand dismissed. 5. Against the order impugned herein passed by the Ld. CWT(A), the Assessee preferred the instant appeal. 6. Having heard the parties and 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 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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