2003 (7) TMI 42

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..... er of the Commissioner of Wealth-tax so far as it related to the refund amount of Rs. 29,511 and lease rent Rs. 4,000?" Learned standing counsel, Ms. Mauna Bhatt, has appeared for the applicant-Revenue whereas nobody has appeared for the respondent though the respondent has been duly served with the notice of this court. The facts giving rise to this reference, in a nutshell, are as under: Though the assessee had to recover a sum of Rs. 4,000 by way of lease rent and a sum of Rs. 29,511 from the Income-tax Department towards her refund, the said amount had not been included in her wealth shown in the return of wealth filed by the assessee for the assessment year 1974-75. After the assessee was assessed, the Commissioner of Wealth-tax had .....

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..... in the net wealth of the assessee. So as to substantiate the said argument on behalf of the assessee, a judgment delivered in the case of CWT v. Vysyaraju Badreenarayanamoorthy Raju [1971] 79 ITR 330 (Orissa) was relied upon. On the other hand, it was submitted on behalf of the Revenue that the amount which was to be paid by the Income-tax Department as well as by the lessee to the assessee would be assets of the assessee and, therefore, the said amount should have been included in the net wealth of the assessee. It has been therefore submitted on behalf of the Revenue before the Tribunal that the Commissioner of Wealth-tax had rightly given direction under the provisions for section 25(2) of the Act to include the said amount in the net w .....

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..... her that the Tribunal had not followed the judgment delivered in the case of Dipti Kumar Basu v. CWT [1976] 105 ITR 450 (Cal) which was cited before it by the Revenue but subsequently, the Supreme Court, in the case of Henry Joshua Silverston v. CWT [1991] 192 ITR 296 has approved the view expressed by the Calcutta High Court in Dipti Kumar Basu v. CWT [1976] 105 ITR 450. Relying upon the aforestated two judgments delivered by the honourable Supreme Court, it has been submitted by learned standing counsel appearing for the Revenue that the system of accounting adopted by the assessee is absolutely irrelevant and looking to the said fact, the Tribunal ought not to have allowed the appeal by setting aside the order passed by the Commissioner .....

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