9911796707
TMI Blog1995 (12) TMI 29X X X X Extracts X X X X X X X X Extracts X X X X ..... ance Act, 1976, is procedural in nature and is appli cable to all the pending assessments including the assessments prior to the assessment year 1976-77 ? " Briefly stated, the facts of the case are that the assessee on the valuation date, i.e., March 31, 1973, was the owner of a house property with open land situated at 60, R. S. Bhandari Marg, Indore. The value of the property was shown in the return at Rs. 2,80,000 as per the report of an approved valuer. The Wealth-tax Officer referred the matter of valuation to the Valuation Officer under section 16A of the Act. The valuation was made at Rs. 11,00,700. The assessee contended that as the property was under self-occupation, its value should be frozen under section 7(4) of the Act. The ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion under section 27(3) of the Act. We have heard Shri D. D. Vyas, learned counsel for the applicant/Department, arid Shri S. C. Bagdiya, learned counsel for the non-applicant/ assessee. It is not in dispute that section 7(4) was inserted in the Wealth-tax Act by the Finance Act, 1976, with effect from April 1, 1976. It provides as under : " (4) Notwithstanding anything contained in sub-section (1), the value of a house belonging to the assessee and exclusively used by him for residential purposes throughout the period of twelve months immediately preceding the valuation date may, at the option of the assessee, be taken to be the price which, in the opinion of the Assessing Officer, it would fetch if sold in the open market on the val ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 50 ITR 319 (Kar). It is not disputed that the assessment proceedings were pending when the amended rule 1BB came into force. The Tribunal was, therefore, justified in setting aside the order passed by the Wealth-tax Officer and in remanding the case to the Wealth-tax Officer to determine the value of the house in accordance with the provisions of rule 1BB of the Rules. " Rule 1BB, concerning valuation of house, was inserted by the Wealth-tax (Amendment) Rules, 1979, with effect from April 1, 1979. Section 7(1) begins with expression as "Subject to any rules made in this behalf". In CWT v. Shri Kasturbhai Mayabhai [1987] 164 ITR 107 (Guj), it is held that the provisions of rule 1BB of the Wealth-tax Rules, 1957, dealing with the determin ..... X X X X Extracts X X X X X X X X Extracts X X X X
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