Court : Income Tax Appellate Tribunal ITAT Ahmedabad
Reported in : (1994)50ITD66(Ahd.)
..... india for the purposes of this act or is a beneficiary under any other trust; or (ii) such assets are held under a trust created before the 1st day of march, 1970, by a non-testamentary instrument and the assessing officer is satisfied, having regard to all the circumstances existing at the relevant time, that the trust was created bona fide exclusively for the benefit of the relatives of the settlor or where the settlor is a hindu undivided family, exclusively for the ..... . with a view to countering attempts at tax avoidance through the creation of a specific trust, a new sub-section (1a) in section 21 of wealth-tax act was inserted to bring to tax the balance of the amount of net wealth after deduction of the value of life interest and interest of the remaindermen in the hands of the trustees ..... provisions of section 21.it is clear from the aforesaid judgment of the hon'ble supreme court that in the case of a private discretionary trust where the shares are indeterminate or unknown, it is the beneficial interest alone which is assessed to wealth-tax in the hands of the trustees and not the corpus of the trust properties.13.8 the supreme court in the aforesaid judgment, inter alia, held that in a case where beneficiaries have life interest in the trust, property and after their death or .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Ahmedabad
Reported in : (2002)81ITD553(Ahd.)
..... concerned industrial undertakings and accordingly depreciation cannot be allocated to the different industrial undertakings as per the scheme of the income-tax act, 1961 in respect of allowance of depreciation on the concept of "block of assets".13.3 in view of the above grounds of appeal, the appellant prays that the assessing officer be directed to recompute the deduction eligible under section 80-i and section 80-m on the profits and gains of each eligible industrial undertaking without excluding from the profits of the concerned industrial undertakings ..... x we have already held that if the liability for payment of expenditure has been determined and crystallised in the next year and the amount has been debited in the books of account after its determination and crystallisation, the expenditure should be allowed as deduction in the year in which it has been accounted for in the books of account maintained by the assessee.such observations have been made on the strength of the ..... the provisions contained in section 4(8) of the wealth-tax act also incorporates within its ambit any transaction as referred to in section 269ua(f). ..... the hon'ble bombay high court in the case of nima specific family trust (supra) has held that the aforesaid sub-section (9) only deals with priority to be given to special deduction under section 80hh over deduction allowable under section 80j or 80-i but it does not refer to the quantum of special deduction allowable under section 80-1. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Ahmedabad
Reported in : (1987)21ITD545(Ahd.)
..... the first appellate authority and the deletion was confirmed by the tribunal vide order dated 19th march, 1979.2.1 the assessee is also regular assessee under the wealth-tax act.since the mother of the assessee was held to be benamidar in the partnership firm the original assessments completed under section 16(1) of the act in the case of the assessee wherein accumulated profits going to the share of the mother were not included were sought to be reopened under ..... act and after considering the submissions made by the assessee that wealth was required to be included in the net wealth of the assessee only because of the refusal to grant registration in the case of the firm and there was no question of concealment, the wealth-tax officer held as follows as could be seen in the penalty order for assessment year 1974-75 (facts and issues are identical): i am satisfied that without reasonable cause, the assessee has failed to furnish the correct ..... particulars of his wealth ..... to the mother after accrual to the .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Ahmedabad
Reported in : (1988)26ITD57(Ahd.)
..... i accordingly set aside the orders of the cwt(a) in respect of the first two common grounds in the appeals of the revenue and restore those of the ito.reference under section 24(11) of the wealth-tax act, 1957 read with section 255(4) of the income-tax act, 1961 1. ..... the court was primarily concerned with section 2(e)(ii) of the wealth-tax act, 1957 which reads as under : 2. ..... the assessee is a hindu undivided family and up to the asst. ..... even for the estimation of the reinstatement cost new of the ordinary structure of the assessee's property for each of the assessment year under reference, i am to state that not only the said estimation is exorbitant, but is arbitrary also and can have no justification so far as the ordinary structure of the assessee is concerned. ..... it is the estimated value of a property which has to be considered for valuation purposes and if such valuation has been arrived at after taking into consideration all relevant facts, having bearing on valuation, and is based on well-established and sound principles of valuation, it should not be lightly disturbed and should be accepted.17. ..... as a result of some partial partition some of the properties came to the present assessee-huf and the dispute is only related to this particular property which was earlier a part of a much bigger property known as ramnivas building. ..... we were also informed during the hearing that it ultimately changed hands as a result of a partition in the huf.11. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Ahmedabad
Reported in : (1989)28ITD249(Ahd.)
..... the beneficial interest is treated as if it belonged to one individual beneficiary and assessment is made on the trustees in the same manner and to the same extent as it would be on such fictional beneficiary.we need not add that it has been the consistent view of the supreme court that the decisions given under the income-tax law must apply equally in the interpretation of section 21 of the wealth-tax act, 1957 "since the relevant provisions of both the statutes are almost identical".21. ..... it would appear from the aforesaid that the hon'ble supreme court has held that the provisions of section 161 of the act are in pari materia with the provisions of section 41 of the indian income-tax act, 1922 as well as the provisions of section 21 of the wealth-tax act, 1957. ..... nizam's family (remainder wealth) trust (supra) and the court laid down the law on the point in the following words : the revenue has thus two modes of assessment available for assessing the interest of a beneficiary in the trust properties : it may either assess such interest in the hands of the trustee in a representative capacity under sub-section (1) or assess it directly in the hands of the beneficiary by including it in the net wealth of the beneficiary. ..... section 41 only comes into play after the income has been computed in accordance with chapter iii. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Ahmedabad
Reported in : (2004)90ITD21(Ahd.)
..... hereafter in this sub-section referred to as the converted property), then, notwithstanding anything contained in any other provision of this act or any other law for the time being in force, for the purpose of computation of the taxable gifts made by the individual, the individual shall be deemed to have made a gift of so much of the converted property as the members of the hindu undivided family other than such individual would be entitled to, if a partition of undivided family property had taken place immediately after such conversion." 6. ..... it seems that before the cwt(a) the dispute was raised as to whether the entire land was one and appurtenant to the bungalow "mohan niwas" which was claimed to be exempt under section 5(1)(iv)/5(1)(v) of the wealth-tax act. ..... the assessee in this case entered into a family arrangement and the property which was hitherto being declared as individual property in this wealth-tax and income-tax returns was settled to be the huf property through the arbitration proceedings and 1/3^rd thereof was allotted to the assessee on partition. ..... that the learned cit(a), therefore, erred in coming to the conclusion that the property could be valued at the market price and was assessable to wealth tax as such and ignoring the valuation given by the assessee. ..... under schedule iii of the wealth-tax act in respect of the said property." 13. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Ahmedabad
Reported in : (2006)100ITD142(Ahd.)
..... not bother any more for the intention or the purpose.supreme court while dealing with the exemption of property comprised in gift under section 4(1)(a) of the wealth-tax act and proviso to section 5 of the gift-tax act, held that on a reading of the plain words of the proviso to section 4(1)(a) of the wealth-tax act, 1957, the clause "for any assessment year commencing after the 31st day of march, 1964" can only be read as relating to gift-tax assessments and not to wealth-tax assessments. ..... and make it functionally efficient; 7.2 this statement is not specific to any particular provision but to the amendment act as a whole and talks about many objectives one of which is ..... main objectives of the amendments proposed to be made are to unearth black-money and prevent its proliferation; to fight and curb tax evasion; to check avoidance of tax through various legal devices, including the formation of trusts and diversion of income or wealth to members of family; to reduce tax arrears and to ensure that in future, tax arrears do not accumulate; to rationalize the exemptions and deductions available under the relevant enactments, and to streamline the administrative set-up .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Ahmedabad
Reported in : (1988)27ITD460(Ahd.)
..... has been raised through various grounds of appeal necessarily requires us to consider the meaning and scope of the expression "belonging to the assessee" as occurring in the definition of 'net wealth' under section 2(m) of the wealth-tax act, 1957 ('the act').8. ..... that the taxability of the amount in question in income-tax proceedings for the assessment year 1980-81 did not affect the case of the assessee in wealth-tax assessment proceedings for the obvious reason that the charge of tax in the two enactments was altogether different. mr. ..... 'belonging to' again fell for consideration of the supreme court in the case of bishwanath chatterjee (supra) wherein, after having considered the meaning of the said expression as given in oxford english dictionary, their lordships held that: so it is the property of a person, or that which is in his possession as of right, which is liable to wealth-tax. ..... now coming to the merits of the present case it is obvious that though the amount in question was received by the assessee on 6-2-1981, that could be so received by him after filing the undertaking which was to the effect that the said amount would be refunded to the punjab government as and when required by them, depending upon the result of the suit filed ..... it appears that it was after executing the guarantee by the assessee in favour of bank of maharashtra and in turn the branch office of the said bank at chandigarh issuing the bank guarantee to the director, punjab state lotteries that the .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Ahmedabad
Reported in : (1990)32ITD232(Ahd.)
..... ordinance which governs the issue runs as under: (1) subject to the provisions of this section, where any person makes, on or after the date of commencement of this ordinance but before the 1st day of january, 1976, a declaration in respect of- (a) the net wealth chargeable to wealth-tax for any assessment year for which he has failed to furnish a return under section 14 of the wealth-tax act; or (b) the value of the assets which has not been disclosed, or the value of the assets which has been understated ..... , in any return of net wealth for any assessment year, then, notwithstanding anything contained in the act, the net wealth, or, as the ..... in this form it was mentioned that the disclosure was arrived at on the last date and hence the figures were tentative.you are requested to add the wealth in the form of agricultural lands in the names of family members till the date of partition. ..... act, 1957 (the act) for late filing of the returns for a.ys. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Ahmedabad
Reported in : (2004)89TTJ(Ahd.)338
..... the appellant submits that the learned cwt(a) has erred in not holding that even if the appellant was to be found assessable in the status of aop he should be assessed to tax at the ordinary rate applicable to aop with all available statutory deductions and not at the specified rate as set out in section 21aa of the wealth tax act, 1957.for the sake of convenience, these appeals are disposed of by this common order as below.the assessee filed the returns ..... sir mir osman ali khan bahadur, the nizam of hyderabad and berar, created several trusts, out of which, we are concerned in this case with the trusts known as the 'family trust', the 'housing accommodation trust' and the 'step-sisters trust'. ..... tax are held by an aop other than a company or a co-operative society, and after 1-4-1989, by a society registered under the societies registration act ..... the learned authorised representative submitted that after insertion of section 21aa, the question arose whether the share of members of appellant association is indetermined or unknown, the learned authorised representative pointed out that the reply of this ..... the scheme of devolution generally was that after his or her death the corpus of the units allocated to him or her would descend to his or her issue or remoter issue per stirpes, a son taking twice ..... to him or her.each was entitled to be paid the income from the units allocated to him or her and provision was made for the manner in which the units were to devolve after his or her death. .....
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