S GURUNATHAN CHETTIAR Vs. COMMISSIONER OF WEALTH TAX

JUDGEMENT

(1.) THE question referred to us in pursuance of the direction of the High Court in T.C. No.41 OF 1990, at the instance of the applicant, is as follows:

(2.) THE assessee, in this case, is a film -distributor. In his assessment for the relevant year 1978 -79 under the Wealth Tax Act (in short "the Act"), the valuation of the film called "Enga Pattan Sothu" was fixed on the basis of its original cost and the assessing authority determined the value of the films in stock at Rs.18,77,501/ -.

(3.) AN appeal came to be filed by the Department while a cross -objection came to be filed by the assessee. According to the Department, the cost price could not be directed to be reduced by 50% while, according to the assessee, since the films had become absolutely old and were not likely to be of any value, even the valuation directed by the appellate authority was excessive.