WEALTH-TAX OFFICER Vs. MANORAMA DEVI BIRLA

JUDGEMENT

(1.) As all these appeals filed by the department for the assessment years 1975-76, 1976-77 and 1977-78 arise out of the consolidated order, dated 17-9-1982 passed by the Commissioner (Appeals), they were heard together and for the sake of convenience, are being disposed, of by a single order.

(2.) The facts relevant for the purposes of the present appeals briefly stated, are that the assessee was an employee of Birla Gwalior (P.) Ltd. She retired from service on 31-3-1975. The assessee had a deposit of Rs. 70,162 on 31-3-1977, the valuation date relevant to the assessment year 1977-78, with Birla Group of Officers fund. The WTO was of the view that the balance in the provident fund account ceases to be provident fund money after retirement and so it is liable to wealth-tax. The WTO, accordingly, included the amount of Rs. 70,162 in the net wealth of the assessee for the assessment year 1977-78.

(3.) The matter was carried in appeal before the Commissioner (Appeals). It was contended on behalf of the assessee that the delay in refunding the amount cannot be attributed to her. In support of the claim for exemption in respect of the amount deposited in the provident fund account, the assessee placed reliance on the order of the Chandigarh Bench of the Tribunal dated 18-3-1982 in IT Appeal No. 193 (Chd.) of 1980. The Commissioner (Appeals) held that considering the facts and circumstances of the case, the sum of Rs. 70,162 should be excluded from the total wealth of the assessee. Dissatisfied with the decision of the Commissioner (Appeals), the department has filed separate appeals for the assessment years under consideration.