2002 (11) TMI 39

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....the purpose of the Wealth-tax Act under section 21(4), the benefit under 'section 5 of the Act cannot be denied to the assessee?" The brief facts necessary for the disposal of the case are that the assessee is a trust and the individual shares of the beneficiaries of the trust are indeterminate and unknown. It is a discretionary trust and all the authorities have found that the assessee is a discretionary trust and the question that arises in the tax cases is whether the assessee, the trust is entitled to the benefit of section 5 of the Wealth-tax Act when the assessment was made invoking section 21(4) of the Wealth-tax Act, 1957 (hereinafter referred to as "the Act"). We have gone through the provisions of section 5 and also section ....

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....e assessment on the representative assessee shall be made and the tax shall be levied upon and recoverable in the like manner and to the same extent, as it would be leviable upon and recoverable from an individual and the expression "leviable" in section 21(4) of the Act would rope in all the provisions of the Act applicable to an individual relating to the levy of wealth tax. Hence, if an individual is entitled to the exemption under section 5 of the Wealth-tax Act, then correspondingly the exemption would be available to a representative assessee in determining the net wealth. In other words, there will be assessment and determination of net wealth of the representative assessee for the levy of wealth-tax in the like manner and to the sam....