9911796707
TMI Blog1996 (3) TMI 167X X X X Extracts X X X X X X X X Extracts X X X X ..... asonable cause, we condone the delay in presenting the appeal and proceed to dispose of the matter on merits. 2. The assessee is a member of a co-operative society known as Pioneer Co-operative Housing Society Ltd. He has contributed a sum of Rs. 9,79,000 for allotment of a house by the said Society. Undisputedly, the flat is allotted to the assessee during the accounting year relevant to the assessment year 1990-91. In the computation of total wealth, the assessee has not shown the value of the said property under the head 'Immovable property', but the contribution to Pioneer Co-operative Housing Society Ltd., was shown under the head 'Movable property' and claimed exemption of the entire sum under the provisions of section 5(1)(xxx). Und ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on 5(1)(xxx) of the Wealth-tax Act. By so stating, the addition of Rs. 9,79,000 was deleted. With regard to the next ground, i.e., the claim of deduction of a sum of Rs. 5 lakhs under section 5(1A) of the Act, he has observed that on examination of the details, the claim of the assessee is fully justified. Thus, on this count he has reduced the amount by another Rs. 5 lakhs. Aggrieved by this order of the CIT(Appeals), the Revenue is in appeal before us. 4. The learned Departmental Representative has contended before us that the order of the CIT (Appeals) is factually and legally not sustainable inasmuch as the first appellate authority has overlooked the fact that the Assessing Officer has already granted exemption under section 5(1)(xxx) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... wever, for the purpose of exemption under section 4(7) of the Act, he contended that the pre-condition in that the property should be owned by the assessee and in the present case the possession of the flat having been given only on 2-5-1991, i.e., after the valuation date, for the assessment year 1990-91, the assessee cannot be deemed as the owner of the said flat. However, he has fairly conceded with regard to the deduction allowable under section 5(1A) of the Act. 6. We have heard the rival submissions and also perused the record. It may be necessary to reproduce the provisions of section 4(7) and the provisions of section 5(1)(xxx) so as to understand the issue on hand, as under : --- Section 4(7) " Where the assessee is a member of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r section 4(7) of the Act, all the three conditions aforementioned were repeated with the only additional words " member of an association of persons " i.e., in addition to the requirement under section 5(1)(xxx). To invoke the provisions of section 4(7) of the Act, the assessee should be found to be a member of an association of persons being a co-operative housing society. Having given careful consideration on this issue, we are afraid as to whether this can be considered as an additional requirement. In both the provisions, the main pre-condition is that the assessee should have been allotted the property. There is no further condition such as occupation/possession of the property before the valuation date, so as to come within the purvi ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
