9911796707
TMI Blog2004 (11) TMI 45X X X X Extracts X X X X X X X X Extracts X X X X ..... ed is 'funds' and not 'fund'- according to us, proper meaning to be attributed to the expression 'funds' as appearing in the provision. The fundamental requirement of section 13(2)(h) is that there must be investment of funds of a trust. If any expanded meaning is given to include assets other than money in hand or cash or credit balance in a bank account, it is evident that they are not capable of being invested as such. Other assets of the trust apart from money in hand or cash or balance in bank will have to be converted into money or cash before the same can be invested – in view of clear language of section 13(1)(c) question are answered in favour of the assessee and against the Revenue - - - - - Dated:- 4-11-2004 - Judge(s) : B. C. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... )(c) of the Act, and, therefore, it would be liable to wealth-tax and section 21A of the Act would apply. With these remarks, net wealth was computed below:- ------------------------------------------------------------------------------------ Rs. Baikunth as per report 41,56,000 Ajmeri Gate as per report 6,69,100 Mashobra 2,00,000 Movable property: Shares 1200 equity shares of Shobha Singh and Sons 7,20,000 600 cumulative preference shares 6,00,000 2000 equity shares of Nerbudda Valley Refregrated Co. 20,000 13,40,000 Loans 34,577 Sundry debtors 98,841 Advance to staff 365 Suspense a/c (as per b/s) 230 1,34,772 Total 64,99,872 Less: Liabilities 3,56,336 Net wealth 61,41,336 ---------- ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... issue had come up before various High Courts and there is unanimity in the view, as that taken by the Tribunal. In construing the provisions of section 13(2)(h), the expression 'funds' has to be understood in the context of the provision and not only with reference to the dictionaries or to commercial parlance or to the principles of accountancy. It is to be noted that the expression used is 'funds' and not 'fund'. 'Funds' means money in hand or cash according to some dictionaries. This, according to us, would be the proper meaning to be attributed to the expression 'funds' as appearing in the provision. The fundamental requirement of section 13(2)(h) is that there must be investment of funds of a trust. If any expanded meaning is given to ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
