COMMISSIONER OF WEALTH TAX Vs. LAXMIBAI GODAWAT

JUDGEMENT

(1.) THESE reference applications are filed by the CWT under S. 27(3) of the WT Act, 1957 (for short the Act) seeking reference of a common question which arises in all these cases. The question sought to be referred to is as follows :

(2.) WE are concerned with HUF which originally consisted of Chhaganlal Godawat (father), Smt. Laxmibai Godawat (mother) and Gunawatlal Godawat (son). The HUF owned a business concern run under the name and style of M/s Meghji Girdharilal. Chhaganlal Godawat died in 1974. His undivided interest in the HUF assets was inherited by his wife and son, namely, other members of the HUF. The HUF was assessed for wealth-tax purposes. The dispute between the assessee and the Revenue is now pending in the High Court on a reference. There is no dispute that for the purpose of assessment of wealth-tax, 2/3rd value of the total assets of the HUF should be reckoned as the wealth of HUF and the remaining 1/3rd should be treated as wealth of the individual members of the HUF, in other words 1/6th of the value of the wealth of the HUF should be reckoned as the individual wealth of each of the two surviving members of the HUF. It was on this basis that the assessment was made for all the successive years.

(3.) NO question of law arises and, therefore, the applications are dismissed.