726/CBDT. - Income Tax - 726/CBDT

INSTRUCTION NO. 726/CBDT Dated : July 29, 1974 Section(s) Referred: 5(1)(iv) Statute: Wealth Tax Act, 1957 A question has arisen whether exemption u/s 5(1) (iv) of the Wealth-tax Act in respect of a house belonging to a firm would be available in the Wealth-tax assessments of the partners of that firm. The Board are of the view that the exemption could not be granted to partners if the house belongs to a firm. The larger issue whether any or some or all the exemptions listed in Section 5(1) are available while computing the net wealth of a firm under Rule 2 of the Wealth-tax Rules is yet under consideration. This may please be brought to the notice of all officers working in the charge.