B INDIRA DEVI Vs. COMMISSIONER OF GIFT TAX

JUDGEMENT

(1.) The Tribunal, Kochi Bench, has referred for the opinion of this Court, the following questions under Section 256(1) of the IT Act :

(2.) Whether, on the facts and in the circumstances of the case, the Tribunal is right in law in valuing the property on the basis of gross maintainable rent taken at Rs. 7,000 per month in accordance with Sub-clause (i) of Rule 1BB(2)(a) -

(3.) The assessee preferred an appeal before the Tribunal questioning the value fixed by the CIT(A). It was contended by the assessee before the Tribunal that the property should have been valued in accordance with Rule 1BB of the WT Rules. It was explained that previously the building had been let out on a rent of Rs. 2,414 per month and on that basis the maintainable rent would come to Rs. 23,864. As per the working given by the assessee's counsel, the value of the property under Rule 1BB would come to Rs. 3,57,960. It was contended by the Department that the assessee had not furnished any details regarding the maintainable rent, the aggregate area, etc., and since the built-up area was 2832 sq. mtrs. in a plot of 70 cents. the case would fall outside the purview of the WT Rules.