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TMI Blog2016 (5) TMI 45X X X X Extracts X X X X X X X X Extracts X X X X ..... sessee on the construction of factory building. In such a situation, we are of the view that the issue needs to be re-examined by ld. CIT(A). We, therefore, restore the issue to the file of ld. CIT(A) to decide the issue afresh after considering the submissions of assessee and in accordance with law. Needless to state that ld. CIT(A) will grant adequate opportunity of hearing to both the parties. Assessee is also directed to furnish promptly all the details called for by the authorites. Thus, the issue is set aside to the file of ld. CWT(A) without deciding the issue on merit. - Decided in favour of assessee for statistical purposes - WTA No. 11/Ahd/2015 - - - Dated:- 6-4-2016 - Shri Shailendra Kumar Yadav, Judicial Member And Shri Anil ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e us and has raised following ground: 1. On the facts and in the circumstances of the case, the learned CWT(A) erred in confirming the addition of ₹ 1,74,23,087/- made by the Wealth-tax Officer to the net wealth of the appellant-company in spite of the fact that the urban land acquired by the appellant-company was outside the purview of definition of urban land contained in section 2(ea)(b) of the W.T. Act. 4. A.O. while perusing the computation of net wealth noticed that assessee acquired free hold land, the value of which ₹ 1,74,23,087/- and which was not considered by the assessee as being liable for wealth tax. The assessee was asked to show cause as to why the same should not be included in the net wealth. The ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is used for industrial purpose, same is not liable for wealth tax liability. The Appellant has a/so referred to decisions of Hon'ble Kerala High Court and Hon'ble Cochin I.T.A.T., wherein it is held that even if construction activities continues for a period of more than two years, land will be outside the purview of wealth tax. 4.1 On careful consideration of entire facts it is observed that freehold land was purchased by Appellant for industrial purpose which is evident from purchase deed as well as approval-of Town Planning and Valuation Department. However, on careful consideration of provisions of Section 2(ea) of the Act referred in Appellant's submission, states that any unused land held by Appellant for industrial ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f payment of wealth tax on the said land does not arise. He further submitted that assessee had filed detailed paper book which contained complete details regarding construction activity carried out during the F.Y. 2008-09 and 2009-10 which showed that the land was for industrial purpose acquired in the month of March and assessee had incurred aggregate expenditure of ₹ 1,83,69,352/- on construction of factory building. He further submitted that the assessee had furnished the copy of the land account and construction account which could establish the acquisition of land, construction of factory building. He submitted that the submissions were rejected by the A.O. and CIT(A) confirmed the action of A.O. on irrelevant grounds. He furthe ..... X X X X Extracts X X X X X X X X Extracts X X X X
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