9911796707
TMI Blog1980 (10) TMI 94X X X X Extracts X X X X X X X X Extracts X X X X ..... on of this amount with the firm's liabilities, he found that the firm's liabilities exceeded the value of the assets after deducting the value of the land, building and motor car. He, therefore, concluded that the assessee had no interest under WT Rule 2-I, in the firm and hence he declined to grant the assessee any deduction under s. 5(1)(xxxii) of WT Act as claimed by the assessee. 3. The assessee appealed before the AAC on the ground that the calculation as made by the WTO of the assessee's interest in the firm was erroneous. Having failed before the AAC on this ground, the assessee appealed before the Tribunal for both the years. 4. During the course of the hearing of the assessee's appeals before the Tribunal, it was urged on behal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 72,612 12,387 84,999 Sri K.S. Kagzi 70,160 12,387 82,547 Smt. Chandrakala Kagzi 54,366 12,387 66,753 Smt. Naryani P. Kagzi 41,380 12,387 53,767 Smt. Godawari P. Kagzi 50,163 12,388 62,551 Sri Deshbandhu Kagzi 19,314 12,388 31,702 . 3,07,995 74,324 3,82,319 It was submitted on behalf of the assessee that both the WTO and the AAC fell into the error of totalling excluding the value of the land and building irrespective of whether the value of such land and building was exempted under any other clause of s. 5(1) of the WT Act. In the assessee's case no such exemption was granted in respect of the aforesaid land and building. Therefore, it was not proper for the lower authorities to deduct the value of the such land ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 5. We have carefully considered the facts of the case and the submissions on either side. In our opinion, the assessee is entitled to succeed on a plain interpretation of s. 5(1)(xxxii) of the WT Act. According to the provisions of s. 5(1)(xxxii) of the WT Act, as stated earlier, the interest of the assessee in the assets of the industrial undertaking belonging to the firm in which she was a partner had to be exempted excluding, of course, the value of land and building as covered by any other clause of s. 5(1). In the assessee's case, no part of the land or building has been exempted under any other cl. of s. 5(1). Therefore, in our opinion, the lower authorities had erred in refusing the assessee's claim for exemption in respect of the va ..... X X X X Extracts X X X X X X X X Extracts X X X X
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