9911796707
TMI Blog1986 (8) TMI 139X X X X Extracts X X X X X X X X Extracts X X X X ..... we will first consider their appeal. 2. The assessee is a HUF. The valuation date is Diwali 1971, i.e., 18-10-1971. The family has several immovable properties. The original assessment was completed on a net wealth of Rs. 6,33,660 as filed by the appellate authorities. 3. There was a partial partition in the assessee's family. For the purpose of the partial partition, these properties are revalued. On the basis of the partition deed the worth of the properties was Rs. 7,64,040. The partition was effective as on 14-12-1971 which was only about two months after the valuation date. 4. On the basis of the valuation given by the assessees themselves in the partition deed, the valuation as per the wealth-tax assessment was lower by more than ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... partition, equation of shares among the coparceners, etc., may fix different values of the properties. This value fixed in the partition deed will be governed by the desire of the individual coparceners to get certain specific immovable properties. For that purpose, it is possible that the members might have hiked up the value. It would not be correct to say that such valuation represents the market value. 7. With regard to the submission that the assessee had omitted to include one or two small properties, he submitted that there has been no omission at all. He placed before us the correspondence between the assessee and the department regarding the valuation for the earlier years. He drew our attention to the letter of the assessee writt ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ows : " STATEMENT OF TOTAL WEALTH Return in response to notice under section 17 of the Wealth-tax Act. Wealth already admitted in the original return filed. Rs. Rs. 4,72,944 wealth determined as per the M.O. dated 23-8-1974. Consequent upon orders passed by AAC. Original assessment completed on 18-1-1973 5,93,379 Add : Rs. 1. 47/6 open plot Mareedpalli 195.20 sq. yards value 1,800 2. 266 Basareddi Guda WTO intimated vide letter dated 9-11-1973 2,000 ------------- 3,800 3,800 ---------------------- 5,97,179 or 5,97,180 ---------------------- The assets which escaped assessments are the two assets which are being added now. This fact was brought to the knowledge of the department before the department could point out vide o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ubmitted that the statement of total wealth in the reassessment proceedings relied on by the department was signed by Shri Chandramouli who was not the karta and, therefore, it has no evidentiary value. We are unable to accept this submission. Shri Chandramouli is an adult member of an HUF, and obviously he was also concerned with the proceedings and that is why he had signed the statement of the total wealth in the reassessment proceedings. Not only this statement he has also signed the letter dated 25-11-1981 addressed to the AAC on which Shri Satyanarayana himself was relying on. Shri Satyanarayana thereafter submitted that it may be a mistaken impression. Of course, we agree that if it is a mistaken impression, it is open for the assess ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t be any escapement of wealth-tax at all. Therefore, even if there was an omission on the part of the assessee, no wealth-tax has escaped assessment. 12. We are unable to accept this submission. The assessment order was dated 18-3-1979. Rule 1BB had come into force with effect from 1-4-1979. The WTO, therefore, could not be aware of such a rule coming into force later. We have to consider the reopening of the assessment only on the basis of the contemporary evidence. On that basis, the prima facie impression that there is an omission of Rs. 3,800 still holds good. Therefore, we hold that the reopening of the assessment was valid. 13. The next question will be the valuation of these properties. The AAC had gone into the issue thoroughly an ..... X X X X Extracts X X X X X X X X Extracts X X X X
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