Wealth tax on industrial property purchase under SAFARAESI Act

[CLARENCE PEREIRA]

We have purchased a property(industrial) with land & building from the Bank under SAFARAESI Act.No production/business has commenced from there,eventhough we are operating from other premises.Does this property come under wealth tax as vacant urban land?.our understanding is that as there is building existing in the property it does not get covered under vacant urban land & hence not an asset for wealth tax.please clarify

AI Summary

Debate: Is Industrial Property Bought Under SAFARAESI Act Subject to Wealth Tax as Vacant Urban Land? A discussion on a forum revolves around whether an industrial property purchased under the SAFARAESI Act is subject to wealth tax as vacant urban land. The property includes land and a building, but no business operations have started there. One participant argues it is not taxable as it is not urban land, while another mentions that the Income Tax Officer considers it taxable due to its unused status. It is suggested that if the property is intended for business use, it may be exempt. The SAFARAESI Act involves banks disposing of assets to recover dues without transferring liabilities.