ARJUN SINGH S Vs. COMMISSIONER OF WEALTH TAX

JUDGEMENT

(1.) THESE are nine applications by the assessee under S. 27(3) of the WT Act, 1957, and pertain to the asst. yrs. 1963 -64, 1964 -65 and 1966 -67 to 1972 -73. In these applications, the assessee has asked for the following three questions to be referred : "1. Whether, on the facts and in the circumstances of the case, the Tribunal erred in law in holding that the valuation of the property computed in accordance with the direction of the Tribunal be not less than that returned by the assessee itself ?

(2.) WHETHER , on the facts and in the circumstances of the case, the Tribunal erred in law in holding that the principles laid down by the Supreme Court in the case of Dewan Daulat Rai Kapoor vs. New Delhi Municipal Committee (1980) 122 ITR 700 were not relevant for the purpose of determination of the valuation of the property under r. 1BB of the WT Rules, 1957 ?

(3.) THE dispute in the case relates to valuation of 20A, Aurangzeb Road, New Delhi. The assessee had indicated a certain value in the return. The WTO referred the matter to a valuer and accepted the value determined by the Valuation Officer. The assessee appealed to the AAC that the Valuation Officer had, inter alia, not deducted 50 per cnet. of the unearned increase to be paid to the Land and Development Officer on transfer, in arriving at the valuation. The AAC rejected the contention but the Tribunal held that after 1951, this payment became obligatory and the said amount has to be allowed as a deduction in arriving at the valuation of the property in the light of the principles laid down by the Supreme Court in CWT vs. Sikand (P. N.) (1977) 107 ITR 922. Consequently, the Tribunal directed the WTO "to recompute the value of the property in different years in the light of the above directions" but indicated that the recomputed value will not be less than that returned by the assessee in those years.