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TMI Blog1980 (9) TMI 147X X X X Extracts X X X X X X X X Extracts X X X X ..... nt of Rs. 25,000 in 12 year National Defence Certificates on 4th June, 1969. It was claimed that the assessee was entitled to exemption under s. 5(1)(xvi) of the WT Act, which exempts various types of Govt. securities as long as the deposits do not exceed the maximum amount permitted to be deposited therein. 12 year National Defence Certificates are one of the securities listed in the sub-section. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Rules 1959), which have been owned by the assessee continuously from a date prior to the 1st day of March, 1970, and the value of the assets so included exceeds the limit of one hundred and fifty thousand rupees by any amount, such limit shall be raised by the said amount." It was understood by the WTO that this section stipulated that the minimum investment should be more than Rs. 1,50,000 so a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... was allegedly upheld. 4. We have carefully considered the records as well as the arguments. We do find that the investment is within the ceiling prescribed for exemption and squarely falls under s. 5(1)(xvi) of the WT Act. In fact, this is not disputed. The only further point is whether the exemption gets hit by s. 5(1A). The main part of s. 5(1A) requires that all the exemptions under the speci ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... We are unable to agree with the narrow interpretation sought to be given by the ld. Deptl. Representative to the proviso so as to say that the exemption will apply to cases of investments covered under sub-cls. (xv) and (xvi) only where the investments exceed Rs. 1.5 lakhs. This cannot obviously be a correct interpretation because the ceiling for investment under cls. (xv) and (xvi) are much less ..... X X X X Extracts X X X X X X X X Extracts X X X X
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