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TMI Blog1989 (5) TMI 95X X X X Extracts X X X X X X X X Extracts X X X X ..... sessee in accordance with r. 1BB of the WT Rules, 1957 computed on the basis of gross municipal valuation at Rs. 10,400 and Rs. 31,813 respectively. The IAC accepted these valuations made in accordance with r. 1BB based on gross municipal valuation. 3. The CWT passed an order under s. 25(2) for both the aforesaid years. It has been observed in the aforesaid order passed by the CWT that in view of the decision of the Tribunal, Ahmedabad Bench in the case of ITO vs. Sudhakar Somani (ITA No. 1386 (Ahd)/82) for the asst. yr. 1980-81 (order dt. 8th Aug., 1983) and another decision of the Tribunal Ahmedabad Bench 'B' in the case of ITO vs. Smt. Shyama G. Sarabhai, Ahmedabad (ITA Nos. 1080 (Ahd)/1983) for the asst. yr. 1976-77, the standard ren ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... see's share determined by CWT in respect of Bombay property: Rs. Return at the rate of 12 per cent on total cost of Rs. 1,62,000 19,440 Less: 1/2 Municipal taxes 2,043 . 17,397 Less: 1/6th for repairs 2,897 . 14,500 Capitalisation at the rate of 100/8 1,81,250 4. The CWT further observed that since the assessee was utilising the Bombay property for his own residence, he will be entitled to substitute the original cost under property for his own residence, he will be entitled to substitute the original cost under s. 7(4) of the WT Act. As such the value of assessee's share in Bombay property was determined by him at Rs. 1,62,000. Thus the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t provisions of the WT Act. He invited our attention at page 426 of 141 ITR where s. 154 of Bombay Municipal Corporation has been reproduced saying that in order to fix the rateable value of any building or land assessable to a property tax, the same shall be computed from the amount of the annual rent for which such land or building might reasonably be expected to let from year to year. He further contended that provisions or r. 1BB are similar with regard to determination of value of such properties. He further invited our attention towards page 433 of the aforesaid judgment of Hon'ble Calcutta High Court in which it has held that income from house property must be computed on the basis of the sum which might reasonably be expected to let ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on meant to get at sheer escapement of revenue which is taken care of by other provisions in the Act. The prejudice that is contemplated under s. 263 is prejudice to the income-tax administration as a whole. Sec. 263 is to be invoked not as a jurisdictional corrective or as a review of a subordinate's order in exercise of the supervisory power but it is to be invoked and employed only for the purpose of setting right distortions and prejudices to the Revenue which is a unique conception which has to be understood in the context of and in the interest of revenue administration. Such a power cannot in any manner be equated to or regarded as approaching in any way the appellate jurisdiction or even the ordinary revisional jurisdiction conferre ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s computed as per r. 1BB of the WT Rules on the basis of municipal valuation cannot be said to be erroneous. Hence, the order passed by the CWT under s. 25(2) on this ground is cancelled. 10. The other ground on the basis of which the CWT had passed the impugned order under s. 25(2) relates to valuation of certain shares owned by the appellant which are not quoted in the stock exchange. The CWT has estimated higher valuation of shares on the basis of decision of Hon'ble Punjab Haryana High Court in the case of Ashok Kumar Oswal vs. CWT (1984) 43 CTR (P H) 216 : (1984) 148 ITR 620 (P H). It is apparent from the order under s. 25(2) passed by the CWT that the authorised representative of the assessee brought to the notice of CWT a judgme ..... X X X X Extracts X X X X X X X X Extracts X X X X
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