RAJENDRA KUMAR AGRAWAL Vs. COMMISSIONER OF WEALTH TAX

JUDGEMENT

(1.) THIS is a reference under Section 27(1) at the instance of the assessee and has been made by the Income-tax Appellate Tribunal, Allahabad, The Tribunal has referred the following questions stated to be of law and to arise out of its order dated October 11, 1990, passed in W. T. A. No. 27 (All) of 1990, for the assessment year 1983-84.

(2.) WE have heard Sri Shambhu Chopra, learned counsel for the Commissioner. No one has appeared on behalf of the assessee.

(3.) WE have given our full consideration to the argument of learned counsel for the Commissioner as well as the view expressed by the Appellate Tribunal. Section 7 of the WEalth-tax Act provides for the method of the valuation for assessment and it begins with the words "subject to any Rules made in this behalf." It means that the value has to be determined according to the Rules. Various Rules have been made under Section 7 of the Act, which are contained in the WEalth-tax Rules, 1957, for the purpose of determination of the market value of various types of properties. Rule 1B describes the manner of valuation of life interest. Rule 1BB describes the method for valuation of immovable properties, Rule 1C made provision for determining the market value of unquoted preference shares. Rule 1D made provision for valuation of unquoted equity shares. Rule 2 provides for the valuation of interest in a partnership firm or association and there are certain other Rules also dealing with the valuation of other properties.