COMMISSIONER OF WEALTH TAX Vs. HARENDRA PRASAD SINGH

JUDGEMENT

(1.) THIS is a reference from the learned Tribunal under S. 27(1) of the WT Act, 1957. The reference was made on a petition by the Revenue. The following question has been referred:

(2.) BRIEFLY , the facts are as follows : The reference relates to the asst. year 1978 -79 to 1980 -81. The assessees were partners of the firm, Surendra and Brother, Makum. The assessees claimed deduction under S. 5(1)(iv) of the WT Act in respect of their shares in the house property standing in the name of the firm in which they were partners. The WTO rejected the claim on the ground that the assessees cannot claim any ownership of the house standing in the name of the firm. On appeal, the AAC, by two separate orders dated November 15, 1983, in the case of each of the assessees, directed the WTO to allow exemption under section 5(1)(iv) of the Act. The learned Tribunal upheld the findings of the AAC on the point. Hence, the present reference. Heard Dr. M. K. Sarma, learned counsel for the assessees, and Mr. D. K. Talukdar, learned standing counsel for the Revenue.

(3.) WHILE answering the above reference, this Court held as follows (at p. 236) :