COMMISSIONER OF WEALTH TAX Vs. ANURADHA NAGORY

JUDGEMENT

(1.) THIS reference application is filed under Section 27 (1) of the Wealth Tax Act at the instance of Commissioner of Wealth Tax, Bhopal. Commissioner of Wealth Tax has asked the opinion of this Court on following questions of law :-

(2.) THE facts of the case are that the assessee had a half share in the house No. 7/197 Swarup Nagar, Kanpur. Other half share of the house belong to her husband. Husband and wife lived jointly in the house. The assessee has declared the value of her half share at Rs. 1,11,000/-, Rs. 1,11,000/- and Rs. 1,25,400/- in three assessment years respectively. The Wealth Tax Officer referred the matter to the Valuation Officer who determined the assessee's share at Rs. 2,11,000/-, Rs. 2,14,500/- and Rs. 2,18,000/- respectively for the three years respectively. After the assessment the assessee preferred an appeal before the Appellate Authority claiming benefit of Section 7 (4) of the Wealth Tax Act which has come into force w. e. f. 1-4-76. The Appellate Authority rejected the assessee's claim observing that since the appellant is living with her husband it can not be said that she is using the property exclusively for her own residence.

(3.) THIS order was challenged by the assessee before the Tribunal. Appeal was allowed by the Tribunal holding that the Section 7 (4) of the Wealth Tax Act is procedural in nature and has a retrospective operation. The assessee is, therefore, entitled to the benefit of Section 7 (4) of the Wealth Tax Act.