1980 (12) TMI 42 - HC - Wealth-tax

Summary

The court ruled that the value of the combine harvester machine was not exempt under section 5(1)(ix) of the Wealth-tax Act for the assessment year 1973-74. The machine was hired out by the assessee, not used directly by the assessee for agricultural purposes, thus not qualifying for the exemption. The court interpreted that the exemption aims to encourage agriculture by granting it to agriculturists who use tools for agricultural purposes. The question was answered in the negative, in favor of the department and against the assessee.