1985 (2) TMI 90

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..... ve figures which the Asstt. CED adopted. The Valuation Officer valued the properties following the land and building method. He did not accept the rental menthol adopted by the accountable person. On appeal, the Appellate Controller held that the properties have been fully developed and the rental income from these properties have been accepted by the IT Department and therefore, the proper menthol of valuation is only rent capitalisation method. He directed the Asstt. Controller to adopt the rent capitalisation method at 15 times the net rental to ascertain the market value of these properties. Against the same the Revenue has preferred this appeal. 2. The ld. Departmental Representative strongly urged that these properties have been let .....

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..... me of the death of the deceased was the proper rent. The wealth-tax assessment for the valuation date as on 31st March, 1974 was accepted as the tax effect was very small. In the subsequent period there was partition and the properties that the coparceners got was below the wealth-tax limit. 3. We have considered the rival submissions. The three properties in dispute have been fully developed and they are let out. No doubt they are let out to the firms in which the deceased was a partner but the rent received from those firms was accepted as the annual letting value of the properties in the income-tax assessments. Having accepted that the Revenue cannot now contend that the rent received was abnormally low. Once the properties have been f .....

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..... ethod is statutorily recognised method for valuation of houses for the purposes of municipal tax, income-tax and wealth-tax and there is no rational explanation why the said tainting the value of the flat for purposes of estate duty." Thus it was held therein that the rental method would be the proper method which should be applied in valuing the building for purposes of estate duty if the building is in the occupation of the tenant or self-occupied by the owner. The ratio laid down in the above decisions squarely applies to the instant case. The valuation determined in the wealth-tax assessments for the valuation as on 31st March, 1974 on the basis of the land and building method has no doubt been accepted by the deceased but according t .....

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