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TMI Blog2003 (4) TMI 87X X X X Extracts X X X X X X X X Extracts X X X X ..... , on the facts and in the circumstances of the case, the Tribunal was right in law in holding that the flat and hotel did not belong to the assessee within the meaning of section 2(m) of the Wealth-tax Act, and hence could not be assessed, as such in his hands merely on the ground that these have not been transferred, in his name particularly when the assessee had made full or partial consideration of the value of the properties and the value of such consideration so made, in the alternate, is liable to be included in his net wealth?" - In our opinion, the findings recorded by the Tribunal that the flat, the plot and the hotel site did not belong to the assessee are based on a correct appreciation of evidence and none of the questions frame ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... erred, in his name particularly when the assessee had made full or partial consideration of the value of the properties and the value of such consideration so made, in the alternate, is liable to be included in his net wealth?" We have heard Dr. N.L. Sharda and perused the orders of the assessment passed by the Wealth-tax Officer, Faridkot, in relation to assessment years 1969-70 to 1980-81, the appellate order passed by the Commissioner of Income-tax (Appeals) and the orders passed by the Income-tax Appellate Tribunal, Amritsar (for short "the Tribunal"). While dealing with the question whether the flat in Reviera Apartments, Okhla Industrial Estate, New Delhi, belonging to the assessee could be treated as part of his wealth for the purp ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he property in the hands of the Nizam of Hyderabad and the matter was settled by the Supreme Court in the above judgment laying down as under: 'The liability to wealth-tax arises because of the belonging of the asset and not otherwise. Mere possession, or joint possession, unaccompanied by the right to be in possession or ownership of property, would, therefore, not bring the property within the definition of "net wealth" for it would not then be an asset "belonging" to the assessee.'" At page 894, the Supreme Court observed as under: "In the instant appeal, however, we are concerned with the expression 'belonging to' and not with the expression 'owner' . . . the liability to wealth-tax arises because of the belonging of the asset and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tered sale deed has been executed in favour of the assessee but consideration for sale for which had been received from the assessee by the Reviera Apartments and the possession of the same had also been handed over to the assessee is "belonging" to the assessee for the purpose of inclusion in the net wealth. The Supreme Court in Nawab Sir Mir Osman Ali Khan (Late) v. CWT [1986] 162 ITR 888, cited by the assessee and discussed in detail by us has clearly answered this question for the purposes of assessment with regard to wealth-tax cases on the basis of which it would be inferred that this Reviera Apartments flat did not belong to the assessee within the meaning of section 2(m) of the Wealth-tax Act. Hence, we conclude that the Reviera Apa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssment year 1969-70 to 1980-81 (assessment year 1969-70 in question)." While dealing with the question whether the hotel site at Chandigarh formed part of the wealth of the assessee, the Tribunal observed as under: "While disposing of the ground with respect to the valuation of flat in Reviera Apartments, New Delhi, in W.T.A. No. 48(ASR) of 1986, we have, after proper discussion and on detailed reasoning, held that the Reviera Apartments flat, New Delhi, does not belong to the assessee within the meaning of section 2(m) of Wealth-tax Act and hence the liability of the assessee to pay wealth-tax on this flat also does not arise. On the basis of this finding, we have allowed the ground of appeal pertaining to the Reviera Apartments flat, ..... X X X X Extracts X X X X X X X X Extracts X X X X
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