(1.) THE Income-tax Appellate Tribunal, Bench-Delhi, in compliance with this court's direction dated July 17, 1980, under Section 27(3) of the Wealth-tax Act, 1957, in Wealth-tax Applications Nos. 47, 46 and 48 of 1980 has referred the following questions for the opinion of this court :
(2.) THE aforesaid questions arise out of a consolidated order dated March 7, 1979, passed by the Tribunal in Wealth-tax Appeals Nos. 1056, 1057 and 1058 (Delhi of 1976-77), for the assessment years 1973-74, 1974-75 and 1975-76.
(3.) AS regards question No. 2, the contention of the Commissioner is that the assessee was not entitled to exemption under Section 5(1)(iv) of the Wealth-tax Act in respect of the share in Saraswati Ware Housing Corpo ration. The said Saraswati Ware Housing Corporation was not a legal person that could own the property in its own right. The Tribunal found that the assessee was a co-owner of the property and was, therefore, enti tled to the exemption under Section 5(1)(iv). The Tribunal's view now stands affirmed by the Supreme Court in CWT v. T.S. Sundaram [1999] 237 ITR 61. Although that is a case of partnership firm, the principles laid down by the Supreme Court is equally applicable to other persons who own the property as co-sharer. Therefore, the said question No. 2 is also answered in the affirmative, i. e., in favour of the assessee and against the Commissioner.