1988 (6) TMI 100

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....residential property of which the assessee was the co-owner should be valued by applying the provisions of section 7(4) of the WT Act. The assessee has a 50 percent share in the property at No. 11, Shafee Md. Road, Madras, the other 50 percent share being held by her minor daughter, both of whom live in that house. The assessee claimed that it was being exclusively used by the assessee for residen....

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....he High Court that it only meant that the property should be used for residential purposes only and not that the assessee should alone reside in the house to the exclusion of everybody else. It has also been held in the case of CWT v. B. M. Bhandari [1980] 123 ITR 554 (AP) that - "The words 'exclusively used by him for residential purposes' in section 5(1)(iv) should be interpreted pragmatically,....

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....f the use, viz., that the property should be used exclusively as residence rather than the nature of the assessee in the sense that the assessee alone should have the user. This is evident from the Finance Minister's speech while introducing sub-section (4) to section 7: "In order to remove the hardship faced by owners of self-occupied property who are now required to furnish its fair market valu....

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.... case where the co-owners are the mother and a minor daughter. If it is to be insisted that the assessee-mother should have an exclusive residence, it may go against the public policy of maintenance and protection of a minor child. Such a viewer calls tour mind a similar argument in an estate duty case where the husband was living in a house gifted by him to his spouse and it was sought to be cont....