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Commissioner of Wealth Tax Vs Pranlal Bhogilal

Case No: WT Ref. No. 19 of 1976

Date of Decision: June 6, 1990

Acts Referred: Wealth Tax Act, 1957 — Section 2, 7(1)

Hon'ble Judges: T.D. Sugla, J; Sujata V. Manohar, J

Bench: Division Bench

Advocate: G.S. Jetly, for the Appellant; S.H. Paradkar, for the Respondent

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Judgement

T.D. Sugla, J.@mdashThe questions of law raised in this reference read thus :

Asst. yrs. 1960-61, 1961-62 & 1962-63.

Whether, on the facts and in the circumstances of the case, the Tribunal was justified in law in confirming the AAC''s decision that the value of the

shares of M/s. Renwick & Co., Pvt. Ltd. should be taken at face value of Rs. 10 per share against the break up value of Rs. 27.20 for each of the

asst. yrs. 1960-61, 1961-62 and 1962-63 ?

Asst. yrs. 1960-61 to 1970-71

Whether, on the facts and in the circumstances of the case, was the Tribunal justified in excluding from the ""net wealth"" computation the debt

represented by the dividend declared by M/s. Renwick & Co. Pvt. Ltd. and not received on the valuation on each of the valuation dates for the

asst. yrs. 1960-61 to 1970-71 ?

2. The counsel are agreed that both the questions are covered by this Court''s decision in the case of Commissioner of Wealth-tax, (Central),

Bombay Vs. Bhogilal H. Patel, . In view thereof, both the questions are answered in the affirmative and in favour of the assessee. No order as to

costs.