1985 (2) TMI 114

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

..... 1,97,107, being refund of excess income-tax determined after the relevant valuation date, is includible in the wealth of the assessee for the assessment year 1982-83. 2. By his order dated 27-10-1982, the ITO determined the amount of Rs. 1,97,107 as refund of income-tax payable to the assessee for the assessment year 1982-83. The WTO included this amount in the wealth of the assessee for the ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....nt has filed the present appeal. 5. After going through the record and hearing the learned representatives of the parties, we are inclined to accept this appeal. It has been held by the Bombay High Court in the case of CWT v. Keshub Mahindra [WT Reference No. 11 of 1970] as follows : "41. Now, when the definition of net wealth referred to debts owed, it is no doubt true that, at the stage of....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ny infirmity in the view taken by the Tribunal when it reversed the order of the Appellate Assistant Commissioner. Consequently, question Nos. 1 and 3 will have to be answered by holding that the taxes ultimately found payable are to be deducted." According to the aforesaid authority, the determination of the actual liability of the assessee in respect of wealth-tax, after the relevant date of ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....en the assessment proceedings are to be finalised would not form part of an asset of the assessee belonging to him on the valuation date. But, we would prefer to follow the decision of the Bombay High Court in the case of Keshub Mahindra, in view of the principles laid down by the Supreme Court in the case of CWT v. Vadilal Lallubhai [1984] 145 ITR 7. According to this authority, when, in the cour....