2002 (10) TMI 70

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..... vour of the Revenue, and against the assessee.
Judge(s) : R. JAYASIMHA BABU., K. RAVIRAJA PANDIAN. JUDGMENT The judgment of the court was delivered by R. JAYASIMHA BABU J.- These references are at the instance of the Revenue. The question referred is, "Whether, on the facts and in the circumstances of the case, the Tribunal is right in law in holding that referring the matter to the Valuation Officer under section 16A of the Wealth-tax Act, 1957, is a discretion given by the statute to the Assessing Officer only and hence the Commissioner of Income tax (Appeals) cannot direct the Assessing Officer to redetermine the value of the property after referring the matter to the valuation cell?" The assessment years are 1988-89 and 1989-90 .....

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..... missioner. It is very surprising as to how the Tribunal allowed the assessee to take the plea it did that the Commissioner should not have directed the Wealth-tax Officer to refer the matter to the valuation cell. The Tribunal, not only entertained that plea, but, proceeded to accept the same by placing reliance on two decisions of the Madhya Pradesh High Court in M.V. Kibe v. CWT [1987] 168 ITR 82 and M. V. Kibe v. CWT [1988] 169 ITR 40. In the case of M. V. Kibe [1987] 168 ITR 82 (MP), the court observed: "For the purpose of making a reference to the Valuation Officer under section 16A of the Act, the Wealth-tax Officer has to form the requisite opinion as required by section 16A. That he should form such an opinion cannot be dictated t .....

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..... iding the question before it subject to the restrictions or limitations, if any, prescribed by the statutory provisions. In the absence of any statutory provision, the appellate authority is vested with all the plenary powers which the subordinate authority may have in the matter." The law laid down in those two decisions was reiterated by the apex court in the case of CIT v. Nirbheram Daluram [1997] 224 ITR 610. What was said by the apex court in relation to the appellate power under the Income-tax Act is equally applicable to the scope of the appellate power under the Wealth-tax Act, as in that Act also, no restriction or limitation has been placed on the appellate power. Section 23, Sub-section (5), of the Wealth tax Act, inter alia, pr .....

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