TMI Blog2008 (1) TMI 315X X X X Extracts X X X X X X X X Extracts X X X X ..... ucted by P. D. S. Legal, for the Appellant. A. S. Rao with P. S. Sahadevan for the Respondents. JUDGMENT 1. Admit on the questions of law which are reproduced hereinafter. Heard forthwith. 2. The appellant is aggrieved by the order of ITAT dated 3.5.2001 which disposed of two appeals for the Assessment years 1993.94 and 1994.95. This appeal is in respect of the assessment year 1994.95. The Tribunal confirmed the order of the Commissioner of Income Tax (Appeals). 3. The appellant has raised the following three questions. "1. Whether the words "having a gross annual salary of less than Rs.2/- lakhs" in Section-2(ea)(i)(1) of the Act should be confined to the subject which immediately proceeds it, i.e. to a director who ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re object appears to be to include all persons in full time employment whether they being an employee, officer or director, who are allotted a house for residential purpose. In our opinion, the construction arrived at by the Tribunal to include all categories in service including a director who is in full time employment would be the correct interpretation, considering the provisions and the scheme of the relevant portion of the section which we have reproduced above. The first question therefore, would not arise. 6. Dealing with the second question, there is no dispute that what we are concerned with is a flat given for residence. It would make no difference that the flats are in a tenant co-partnership society as long as the asset fal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... [1986] 162 ITR 888 (S.C.). In that case as there was no completed transfer, it was assessed in the hands of the transferor and not the transferee. In ordinary law mere agreement to sell would not transfer the title of the property until it is effected by registering the sale deed. Once therefore an assessee is admitted to membership and allotted a building or part of the building it is an 'asset'. The second question therefore also would not arise. 7. We may now deal with the last contention as to Whether Section 7(2) of the Wealth Tax Act,1957 is attracted. Section 7(1) provides for the manner of valuation of the asset. The language used in section 7(2) deals with the value of the house belonging to the assessee and exclusively used ..... X X X X Extracts X X X X X X X X Extracts X X X X
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