Explanation to clauses (xxxi) & (xxxii) of sub-section (i) of section 5 of the Wealth Tax Act. - Income Tax - 1128/CBDT

INSTRUCTION NO. 1128/CBDT Dated : December 24, 1977 Section(s) Referred: 5(1) Statute: Wealth Tax Act, 1957 The Board have in consultation with the Ministry of Law, examined the question as to whether (i) tanneries,(ii) rice mills, (iii) Dal mills, (iv) Oil Mills (v) Brick kilns are covered by the explanation to clauses (xxxi) (xxxii) of sub-section (i) of section 5 of the W.T.Act. 2. The Board are advised that all these types of undertakings may be regarded as "Industrial undertakings" engaged in the manufacture/processing of goods and therefore would be covered by the Explanation to clauses (xxxi) and (xxxii) of section 5(1) of the W.T.Act, 1957. As such the relevant assets shall not be included in the net wealth, subject of course, to the ceiling laid down in section 5(1A).