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TMI Blog1978 (8) TMI 53X X X X Extracts X X X X X X X X Extracts X X X X ..... studded with jewels or jems (whether imitation or genuine) would not be exempt but ornaments which are not studded as such, will be exempt from wealth-tax. The Tribunal remanded the matter for recomputation of the value of the jewellery accordingly. At the instance of the Commissioner, the Tribunal has referred for our opinion two questions: " 1. Whether, on the facts and in the circumstances of the case, the Tribunal was legally correct in setting aside the Appellate Assistant Commissioner's order by which he refused to permit the assessee to claim exemption under section 5(1)(viii) as the point did not arise out of the assessment order and the Wealth-tax Officer had not investigated whether the jewellery was mainly intended for personal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ct added two provisos and two Explanations but the same were made operative prospectively from April 1, 1972. Clause (viii), after its amendment, reads as follows : "(viii) furniture, household utensils, wearing apparel, provisions and other articles intended for the personal or household use of the assessee, but not including jewellery ...... Explanation 1.-For the purposes of this clause and clause (xiii), "jewellery " includes- (a) ornaments made of gold, silver, platinum or any other precious metal or any alloy containing one or more of such precious metals, whether or not containing any precious or semi-precious stone, and whether or not worked or sewn into any wearing apparel; (b) precious or semi-precious stones, whether or not s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... els were taxable while ornaments consisting of pure gold and set with stories were " jewellery ". In our case, there is no material distinction between jewellery and ornaments in the context that one is studded with precious stones and the other is not. This case is distinguishable. In Ganeshilal and Sons v. Commr. of ST [1971] 27 STC 150 (All), this court interpreted the word " jewellery " occurring in the sales tax notification to include ornaments studded with precious stones. This case is also not very helpful because it interpreted the notifications issued under the Sales Tax Act which were differently worded. In the result, the second question is answered in the negative, in favour of the department and against the assessee. In this ..... X X X X Extracts X X X X X X X X Extracts X X X X
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