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TMI Blog1991 (2) TMI 26X X X X Extracts X X X X X X X X Extracts X X X X ..... orks of art ?" Shortly stated, the facts are that the assessee who owned certain jewellery claimed that jewellery was exempted under section 5(1)(xii) of the Act, on the ground that it consisted of works of art. The Wealth-tax Officer negatived the claim of the assessee and, on appeal, the action of the Wealth-tax Officer was confirmed by the Appellate Assistant Commissioner. On further appeal, at the instance of the assessee, the Tribunal upheld the order of the Appellate Assistant Commissioner. At the hearing Mr. Sukumar Bhattacharya, learned advocate appearing for the assessee, while conceding that the jewellery belonging to the assessee consisted of ornaments made of gold, contended that these items of assets being works of art were e ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... half of the assessee. It cannot be disputed that one of the external aids to construction is the history of the legislation. Regard must be had not only to the words used in the statute but also to the history of the legislation. If we look at the history of the legislation regarding the exemption for jewellery, it will be evident that the Legislature has made its intention clear that ornaments made of gold and/or any precious metals will not qualify for exemption under section 5(1). There is no dispute about the fact that the jewellery belonging to the assessee consisted of ornaments made of gold and/or precious metals. For the assessment years 1957-58 to 1962-63, an assessee was entitled to exemption under the then section 5(1)(xv) in res ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... niture, utensil or other article or worked or sewn into any wearing apparel. The above definition of the expression "jewellery" is operative for and from the assessment year 1972-73. In the case of CWT v. Arundhati' Balkrishna [1970] 77 ITR 505, the Supreme Court held that the expression "other articles intended for the personal or household use of the assessee", in section 5(1)(Viii), included jewellery which was held by the assessee for her personal or household use. The court further held that the exemption of jewellery up to Rs. 25,000 in value under section 5 (1) (xv), as it existed prior to April 1, 1963, operated in respect of jewellery other than that held for personal or household use of the assessee. The interpretation placed by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssment year 1963-64 and the extended meaning of the term "jewellery" became operative from April 1, 1972, for the assessment year 1972-73 and subsequent assessment years. The intention of the Legislature has been amply demonstrated in the amendments effected from time to time in not allowing any exemption or withdrawing exemption. It is precisely for this reason that the assessee sought to urge that jewellery would come within the purview of section 5 ( 1 ) (xii). Under section 5 ( 1 ) (xii), the assessee is entitled to, for and from the assessment year 1957-58, exemption, inter alia, in respect of "works of art" not intended for sale. Under section 5(1)(xiii), exemption has been given to drawings, paintings, photographs, prints and other h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ellery was exempted on account of the recognition. This demonstrates that jewellery as such is not entitled to any exemption under the Wealth-tax Act.
In our view, jewellery having been considered separately, it will not come within the purview of "work of art". Even assuming that a piece of jewellery is a "work of art" and comes within the purview of section 5(1)(xii), it cannot be an ordinary piece of jewellery which is meant for personal use and which, by its very nature, is liable to be sold whenever such occasion arises.
For the foregoing reasons, we answer the question in this reference in the affirmative and in favour of the Revenue.
There will be no order as to costs.
SHYAMAL KUMAR SEN J. - I agree. X X X X Extracts X X X X X X X X Extracts X X X X
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