Commissioner of Wealth-tax Vs. A.A. Patel (Decd. by Lrs.) - Court Judgment

Excerpt:
taxation - wealth tax act - questions of law arises -reference made to the high court for its decision - order1. after hearing learned counsel for the parties, questions of law do arise. we, therefore, allow the appeals and direct the tribunal to state the case and referthe following three questions to the high court for its decision : [1990]181itr543(mp) :'(1) whether, on the facts and in the circumstances of the case, the income-tax appellate tribunal is legally correct in holding that a reference made to, the valuation officer in compliance with the directions of the appellate assistant commissioner cannot be a reference under section 16a of the wealth-tax act, 1957 ? (2) whether, on the facts and in the circumstances of the case, the income-tax appellate tribunal is legally correct in holding that the report from the valuation officer, although obtained on the basis of a reference made as a result of the appellate assistant commissioner's directions, is not binding on the wealth-tax officer under section 16a(6) of the wealth-tax act ? (3) whether, on the facts and in the circumstances of the case, the income-tax appellate tribunal is correct in holding that the commissioner was not correct in concluding that the wealth-tax officer was duty bound to accept the valuation officer's report so far as the valuation of assets was concerned and by not doing so, the assessments made by the wealth-tax officer, be treated as erroneous and prejudicial to the interests of the revenue ?'

Judgment:
ORDER

1. After hearing learned counsel for the parties, questions of law do arise. We, therefore, allow the appeals and direct the Tribunal to state the case and referthe following three questions to the High Court for its decision : [1990]181ITR543(MP) :

'(1) Whether, on the facts and in the circumstances of the case, the Income-tax Appellate Tribunal is legally correct in holding that a reference made to, the Valuation Officer in compliance with the directions of the Appellate Assistant Commissioner cannot be a reference under Section 16A of the Wealth-tax Act, 1957 ?

(2) Whether, on the facts and in the circumstances of the case, the Income-tax Appellate Tribunal is legally correct in holding that the report from the Valuation Officer, although obtained on the basis of a reference made as a result of the Appellate Assistant Commissioner's directions, is not binding on the Wealth-tax Officer under Section 16A(6) of the Wealth-tax Act ?

(3) Whether, on the facts and in the circumstances of the case, the Income-tax Appellate Tribunal is correct in holding that the Commissioner was not correct in concluding that the Wealth-tax Officer was duty bound to accept the Valuation Officer's report so far as the valuation of assets was concerned and by not doing so, the assessments made by the Wealth-tax Officer, be treated as erroneous and prejudicial to the interests of the Revenue ?'