COMMISSIONER OF WEALTH TAX Vs. PUSHPAWATI DEVI SINGHANIA

JUDGEMENT

(1.) Sri Bharatji Agarwal is present for the Department and Sri V.K. Upadhyaya is present for the assessee.

(2.) There is an application under Section 27(1) of the WT Act, 1957 in which the following questions of law have been referred to us :

(3.) In Bharat Hati Singhania v. CWT (1994) 207 ITR 1 (SC) it has been held that in view of Rule 1D of the WT Rules the assessee's method of valuation of unquoted shares cannot be approved if it is not in accordance with Rule 1D. Only the deductions mentioned in the rule can be deducted from the valuation. Arrears of dividend on cumulative preference shares are not mentioned in Rule 1D. Hence they cannot deduct from the value of the assessee's assets.