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TMI Blog2016 (8) TMI 1583X X X X Extracts X X X X X X X X Extracts X X X X ..... he issue is as follows:- "i) The learned Commissioner of Wealth Tax (Appeals) has erred in confirming the order of the learned Assessing Officer who had failed to value the immovable property as per section 7 and Schedule III of the Wealth Tax Act. ii) The learned Commissioner of Wealth Tax (Appeals) has erred in confirming the order of the learned Assessing Officer who has not considered the liability of Rs. 40,00,000/- incurred by the assessee towards M/s. Jaya Publications for purchase of jewellery. iii) The learned Commissioner of Wealth Tax (Appeals) has erred in confirming the order of the learned Assessing Officer who had failed to value the interest in partnership firm in accordance with section 7(1) read with schedule III-1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... /s. Sasi Enterprises 50% of Rs. 1,25,00,875 Rs. 62,50,438 b) M/s. Jaya Publications 50% of Rs. 3,61,23,314/- : Rs. 1,80,61,657 c) M/s.Jaya Real Estates 50% of Rs. 31,84,000/- : Rs. 15,92,000 d) M/s. J.S.Housing Development 50% of Rs. 44,25,000/- Rs. 22,12,500 e) M/s. Jaya Contractors & Builders 50% of Rs. 23,55,000 : Rs. 11,77,500 f) M/s. J. Farm House 50% of Rs. 1,21,31,880/- : Rs. 60,65,940 h) M/s. green Farm House as in earlier year : Rs. 4,32,700 ------------------------ Total Rs. 4,46,15,350 ================ 4. On appeal, the learned Commissioner of Wealth Tax (Appeals) confirmed the order of the learned Wealth ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ccessfully controvert to the submissions of the learned Authorized Representative. 7. We have heard the rival submissions and carefully perused the materials available on record. Ground No.1: Valuation of immovable property as per section 7 Schedule III of the Wealth Tax Act." 7.1 The learned Authorized Representative has not disputed the five properties that have to be taken into account for the purpose of determining the wealth of the assessee. The only dispute is with respect to the method of valuation to be adopted. It appears from the order of the learned wealth tax officer that the asset is valued at the aggregate market rate at Rs. 51,36,750/-, however, as pointed out by the learned Authorized Representative, the provisions of se ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... II of the Wealth Tax Act at the option of the assessee. It appears from the order of the Revenue that these provisions of the Wealth Tax Act are lost sight off. Therefore, we hereby direct the learned Wealth Tax Officer to compute the value of the immovable properties of the assessee in accordance with section 7 Schedule III PartB of the Wealth Tax Act for the purpose of levying Wealth Tax in the case of the assessee. Thus this ground is allowed in favour of the assessee. Ground No.2 : Consideration of the liability of Rs. 40,00,000/- incurred by the assessee towards M/s. Jaya Publications for purchase of jewellery. 8. The learned Authorized Representative has not disputed the valuation adopted by the learned Wealth Tax Officer for valui ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ase, as per the definition of 'Net Wealth' section 2(m) of the Wealth Tax Act, the liability of debt has to be excluded while determining the net wealth of the assessee. Therefore, we hereby direct the learned Wealth Tax Officer to exclude the liability while valuing the jewellery of the assessee. Accordingly this issue is also decided in favour of the assessee. Ground No.3: Valuation of the interest in partnership firm in accordance with section 7(1) read with schedule III-15 & 16 Part- E: 9. Here again, the learned Authorized Representative has not disputed the interest in partnership firms taken into account for the purpose of determining the wealth of the assessee. He has only disputed the method of valuation. According to the learne ..... X X X X Extracts X X X X X X X X Extracts X X X X
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