2013 (11) TMI 406

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... d; it is a part and parcel of the industrial undertaking, factory or business premises as the case may be. The mere fact that a part of land, which is held as factory, is sold by the assesese as a piece of land would not change the character of asset in the hands of the assessee - There may be situations in which a part of factory land may be sold as ‘land’ but as long as it is a part of the facto .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... s of the case, the ld. CIT(A) has erred in law as well as on facts by deleting the addition of value of Rs.4,22,57,410/- in the Net Wealth of the assessee without examining the details of business/industrial activities carried out from the said factory situated over the land . 3. Briefly stated, the relevant material facts are like this. The assessee before us is a Limited Company engaged in the .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ly of the assessee is not accepted. The assessee has sold a portion of this land during the financial year at a consideration of Rs.1,90,00,000/- and has offered long term capital gain on it. The assessee failed to produce any evidence which could prove that the land was used for industrial purposes only. The issue is that how could an assessee sell the land over which a factory building is situat .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... the Wealth Tax Act, 1957, any urban land on which building has been constructed or which is used for business purposes cannot be brought to wealth tax. Therefore, the land having been used for manufacturing and commercial purposes, in the esteemed views of learned CWT(Appeals), the addition in respect of value of land was deleted. The Assessing Officer is not satisfied with the stand so taken by t .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... part of the factory, it cannot have any other character in the hands of the assessee than factory as such. A vacant piece of land, even if it can be sold as land as such, continues to be a business asset as long as vacant land an integral part of factory etc. In view of these discussions, and bearing in mind the fact that it is an uncontroverted position that the land sold was a part of the fact .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X