Court : Allahabad
Reported in : [1988]172ITR184(All)
..... whether, on the facts and circumstances of the case, penalty under section 18(1)(a) could be imposed on a legal heir, in view of the specific omission of sections 18 and 16 from section 19(3) in chapter v of the wealth-tax act, determining the liability and tax of a deceased person payable by the legal representative ? 2. ..... first, the question for consideration is whether a penalty for default under section 18(1)(a) of the act can be imposed on a legal heir or a legal representative under the special provisions of section 19 or section 19a as stated in chapter v of the act of 1957. ..... in reply, the assessee stated that section 18 is not includedin section 19(3) of the act of 1957, and, therefore, no penalty proceedings could be commenced against the legal representative for late filing of the returns. ..... the wealth-tax officer, therefore, initiated penalty proceedings for default under section 18(1)(a) of the act of 1957, by issuing a show cause notice to the assessee. ..... section 3 of the act of 1957 does not create a charge in respect of the net wealth 'held' by an assessee on the valuation date but the charge is created only in respect of the net wealth of an assessee on the valuation date. ..... at the instance of the assessee, the income-tax appellate tribunal, allahabad bench, has referred the following two questions for our opinion under section 27(1) of the wealth-tax act, 1957 (briefly the act, 1957):'1. .....
Tag this Judgment!Court : Gujarat
Reported in : (2009)221CTR(Guj)423; [2009]313ITR192(Guj)
..... (1) where a person dies, his executor, administrator or other legal representative shall be liable to pay out of the estate of the deceased person, to the extent to which the estate is capable of meeting the charge, the wealth-tax assessed as payable by such person, or any sum, which would have been payable by him under this act if he had not died.under this sub-section, the executor, administrator or other legal representative is liable to pay wealth-tax assessed as payable by the deceased, out of the estate of the deceased, after his death. ..... cwt : [1980]124itr77(all) , wherein it is held that chapter v of the wt act, 1957, deals with liability to assessment in special cases and section 19 provides for situations where a legal representative is either liable to proceedings or is liable to pay the wealth-tax or any sum. ..... and further having considered the relevant statutory provisions contained in the wt act, 1957 as well as legal authorities referred to and relied upon by the parties before the court, we are of the view that in absence of any contrary decision on the issue and that there is no scope for any other interpretation of sections 19(1) and 19(3) of the act under which the legal representative is made liable to penalty under sections 18(1)(a), 18(1)(c) and 15b of the act, no question of law, much less any substantial question of law arises .....
Tag this Judgment!Court : Chennai
Reported in : [1974]96ITR152(Mad)
..... anderson, : [1964]51itr345(sc) the supreme court again considered the scope of section 24b of the income-tax act and said:' section 24b in terms refers to the liability of the legal representative to pay tax assessed as payable by such deceased person, or any tax which would have been payable by him under the act if he had not died, and if the expression ' tax which would have been payable under this act, if he had not died ' is intended to impose liability for tax on income received in the year of account in the course of which ..... the facts and in the circumstances of the case, the decision of the tribunal that the assesses are assessable under the provisions of the wealth-tax act, 1957, as falling within the charging section 3 of the act in respect of the assessment years,. ..... the facts and in the circumstances of the case, the decision of the tribunal that the status of the assesses was ' individual' within the meaning of section 3 of the wealth-tax act, 1957, is valid in law ?' 7. ..... held that the word ' individuals ' in entry 86 of list i of schedule vii to the constitution of india takes within its sweep groups of individuals likehindu undivided families and that, therefore, parliament was competent to levy a tax on the capital value of the assets of the hindu undivided families and that section 3 of the wealth-tax act, 1957, was, therefore, valid in so far as it purports to levy wealth-tax in respect of the net wealth of a group of individuals such as a hindu undivided family. .....
Tag this Judgment!Court : Chennai
Reported in : [1980]122ITR1014(Mad)
..... section 19 runs as follows : '(1) where a person dies, his executor, administrator or other legal representative shall be liable to pay out of the estate of the deceased person, to the extent to which the estate is capable of meeting the charge, the wealth-tax assessed as payable by such person, or any sum, which would have been payable by him under this act if he had not died. ..... where a person died, his legal representative was liable to pay out of the estate of the deceased to the extent to which the estate of the deceased was capable of meeting the charge, the tax as payable by such person, or any tax which would have been payable by him under the act, if he had not died. ..... act, 1922, dealt with the liability of the legal representative as regards the tax payable by a deceased person. ..... or where the deceased has furnished a return which the ito had reason to believe to be incorrect or incomplete; the ito could in such a case take further proceedings to make the assessment on the total income of the said person ask determine the tax payable by him and, for this purpose, he could issue appropriate notice and serve them on the legal representatives or require them to produce any accounts, documents, etc. ..... act : 'whether action can be initiated and penalty levied on onthe legal representative of a deceased-assessee for the belated filing of the return by the latter for any assessment year under section 18(1)(a) of the wealth- tax act, 1957 ?' 2. .....
Tag this Judgment!Court : Allahabad
Reported in : (1984)43CTR(All)189; [1984]150ITR446(All); [1984]19TAXMAN131(All)
..... (4) every person who was at the time of such discontinuance or dissolution a member of the association of persons, and the legal representative of any such person who is deceased, shall be jointly and severally liable for the amount of tax, penalty or other sum payable, and all the provisions of this act, so far as may be, shall apply to any such assessment or imposition of penalty or other sum. ..... (2) where any business or profession carried on by an association of persons referred to in sub-section (1) has been discontinued or where such association of persons is dissolved, the wealth-tax officer shall make an assessment of the net wealth of the association of persons as if no such discontinuance or dissolution had taken place and all the provisions of this act, including the provisions relating to the levy of penalty or anyother sum chargeable under any provision of this act, so far as may be, shall apply to such assessment. ..... in order to counter such attempts at tax avoidance through the medium of multiple associations of persons without defining the shares of the members, the finance act has inserted a new section 21aa in the wealth-tax act to provide for assessment in the case of associations of persons which do not define the shares of the members in the assets thereof. ..... under the wealth-tax act, 1957, individuals and hindu undivided families are taxable entities but an association of persons is not charged to wealth-tax on its net wealth. ..... act, 1957. .....
Tag this Judgment!Court : Mumbai
Reported in : [1965]56ITR648(Bom); 1965MhLJ55
..... under the provisions of section 14 or after having furnished a return which the wealth-tax officer has reason to believe to be incorrect or incomplete, the wealth-tax officer may make an assessment of the net wealth of such person and determine the wealth-tax payable by the person on the basis of such assessment, and for this purpose, may, by the issue of the appropriate notice which would have had to be served upon the deceased person if he had survived, require from the executor, administrator or other legal representative of the deceased person any accounts, documents ..... shroff and following that decision and the ratio thereof, the court again held : 'section 24b in terms refers to the liability of the legal representative to pay assessee as payable by such deceased person, or any tax which would have been payable by him under the act if he had not died, and if the expression 'tax which would have been payable under this act, if he had not died' is intended to impose liability for tax on income received in the year of account in the course of which the taxpayer died, a different ..... the main contention of the petitioners is that there is no provision in the wealth-tax act, 1957 (27 of 1957), entitling the revenue to charge, assess and recover wealth-tax in respect of the wealth left by a deceased person from after the financial year next to the financial year in which such person dies. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Mumbai
Reported in : (1985)12ITD622(Mum.)
..... when the trust properties were attempted to be added to the net wealth under section 4(1) of the wealth-tax act, 1957, the supreme court held in his highness yeshwant rao ghorpade v. ..... after his death, the property was conveyed by the legal representatives. ..... in the instant case, the coparcenary interest of the deceased did pass on his death whether under section 5 or under section 7 of the act and, consequently the provisions of section 34(1)(c) are attracted....we will, therefore, hold that the lineal descendants' share was rightly included.26 to 28. ..... property taken under a disposition made by the deceased purporting to operate as an immediate gift inter vivos whether by way of transfer, delivery, declaration of trust, settlement upon persons in succession, or otherwise, which shall not have been bona fide made two years or more before the death of the deceased shall be deemed to pass on the death : the proviso and the sub-section are not relevant. ..... he first submitted that neither section 5 nor even section 7 of the act, which are the charging sections in the act, covered the property which would legitimately belong to persons other than the deceased. ..... 174 : "if the premium under the policy was payable by the deceased himself, the premium payment does not amount to a gift of money. ..... the beneficiaries do not have any right in respect of the instalment or the premia payable by contract between the insurer and the insured. .....
Tag this Judgment!Court : Andhra Pradesh
Reported in : [1975]100ITR645(AP)
..... (1) where a person dies, his executor, administrator or other legal representative shall be liable to pay out of the estate of the deceased person, to the extent to which the estate is capable of meeting the charge, the wealth-tax assessed as payable by such person, or any sum, which would have been payable by him under this act if he had not died...... ..... the last limb of section 19(1), namely, 'any sum which would have been payable by him under the act if he had not died' cannot be invoked against the legal representative for the reason that sub-section (3) provides that the provisions of sections 14, 15 and 17 shall apply to an executor, administrator or other legal representative as they may apply to any person referred to in those sections. ..... after his death, the wealth-tax officer issued the impugned notice on october 12, 1972, to the petitioner, as the legal representative of the assessee proposing to levy penalty under section 18 for the alleged default of the assessee in filing the returns in time without any reasonable cause. ..... the short question that arises in these two writ petitions is whether action can be taken against the legal representatives of an assessee under section 18(1)(a) of the wealth-tax act on the ground that the assessee had failed to furnish return of his net wealth without reasonable cause within the time allowed and in the manner required. 2. .....
Tag this Judgment!Court : Kolkata
Reported in : [1977]106ITR57(Cal)
..... section 24b by fictio juris has extended the legal personality of the deceased assessee up to the end of the accounting year in which he has died and accordingly the income earned by him or accrued to him is assessable in the hands of his heirs or legal representatives under the act, whereas the charge is on the net wealth of an individual on the corresponding valuation date under the wealth-tax act. ..... the question now is whether the executors can be brought to tax in the year of his death under section 19(2) of the act, which reads as follows : 'where a person dies without having furnished a return under the provisions of section 14 or after having furnished a return which the wealth-tax officer has reason to believe to be incorrect or incomplete, the wealth-tax officer may make an assessment of the net wealth of such person and determine the wealth-tax payable by the person on the basis of such assessment, and for this purpose may, by the issue ..... section 3 of the act provides as follows ; 'subject to the other provisions contained in this act, there shall be charged for every assessment year commencing on and from the first day of april, 1957, a tax in respect of the net wealth on the corresponding valuation date of every individual, hindu undivided family and company at the rate or rates specified in the schedule.' 5. ..... this is a reference under section 27(1) of the wealth-tax act, 1957, concerning the estate left by late sir edward c. .....
Tag this Judgment!Court : Madhya Pradesh
Reported in : (1983)35CTR(MP)316; [1984]147ITR53(MP)
..... the question of law referred is as follows :'whether, on the facts and in the circumstances of the case, the appellate tribunal was right in law in cancelling the penalties levied under section 18(1)(c) of the wealth-tax act, 1957, for the assessment years 1968-69 to 1972-73, holding that no penalty could be legally imposed on the legal representative of the deceased assessee, abdul rashid khan ?'2. ..... under the provisions of section 14 or after having furnished a return which the wealth-tax officer has reason to believe to be incorrect or incomplete, the wealth-tax officer may make an assessment of the net wealth of such person and determine the wealth-tax payable by the person on the basis of such assessment, and for this purpose may, by the issue of the appropriate notice which would have had to be served upon the deceased person if he had survived, require from the executor, administrator or other legal representative of the deceased person any accounts, documents .....
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