TaxTMI 
TaxTMI 
2014 (7) TMI 1214
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.... from the case of Sri K.N. Majithia as follows: "1. The learned Commissioner of Wealth Tax (Appeals) has erred in not adjudicating the ground raised by the appellant challenging the action of the Assessing Officer in reopening of the assessment and passing an order u/s.16(3) r.w.s. 17 of the Wealth Tax Act, 1957 which is illegal and bad in law. 2. The learned Commissioner of Wealth Tax (Appeals) has erred in confirming the addition of (Rs.80,44,621/- on Kaushikbhai N. Majithia' case and Rs. 74,06,130/- on Rajendra N. Majithia's case) made by the Assessing Officer wrongly treating the various agricultural lands as urban land within the meaning of Section 2(ea) of the W.T. Act, 1957." 2. At the outset, learned AR, Mr. A.L. Thakkar ha....
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....n the revenue records. The assesses has not made any change with respect of the use of land. The land has not been converted into non agricultural. Moreover, it is further stated that even if the land is treated as urban land. The same is still not includible as asset within the meaning of section 2(ea) of WT Act. It has been specifically provided in the WT Act that land on which construction of a building is not permissible under any law or the land on which building is constructed with the approval of appropriate authority is outside the definition of urban land. The assessee says that the land referred to above are such that no construction can be made on the said land without changing the character of the land for which approval of the ....
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....n nature. The bottom part of the documents indicates the crop grown in the aforesaid land. 4. The WTO has merely stated that appellant has not furnished any evidence that the construction of building is not permissible in the land by any law or approval of the appropriate authority is required to construct building on this land. It is on such flimsy grounds that the WTO has rejected the contentions made by the appellant. If the WTO had any doubts that the contentions raised by the appellant are incorrect than the onus lies on the WTO to prove conclusively and with cogent evidences that the arguments made by the appellant are not tenable. Merely, rejecting the explanation by the WTO cannot make an "agricultural land" into "Urban Land". It....
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....isions the agricultural land has been excluded from the definition of "urban land"; therefore, should not be treated as an "asset" for the purpose of taxation under WT Act. 6. From the side of the Revenue, learned Sr.D.R., Mr. B.L. Yadav has strongly supported the view taken by the Revenue Authorities. Learned DR has argued that on law the assessee has no case because the land is situated within 8 kms. of Municipal Limits; therefore, undisputedly it is an "urban land". Learned DR has also argued that there was no evidence that the character of the land was an agricultural land. He has, therefore, pleaded that the view taken by learned CIT(A) deserves to be confirmed. 7. We have heard both the sides at some length and perused the ma....
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....ccupied by any building which has been constructed with the approval of the appropriate authority or any unused land held by the assessee for industrial purposes for a period of two years from the date of its acquisition by him [or any land held by the assessee as stock-in-trade for a period of [ten] years from the date of its acquisition by him.]" 8. We have also noted that by Finance Act, 2013 the above change had taken place in the provisions of WT Act which were made retrospectively from 1.4.1993. Our attention has also been drawn on an another amendment w.e.f. 01.04.2014 according to which there is an another change in the definition of "urban land" in clause (b) of Explanation 1 of Section 2(ea), however the position in respect of ....