2002 (11) TMI 67

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....tions of this court, the Income-tax Appellate Tribunal has stated a case and referred the following questions of law for our consideration: "1. Whether, on the facts and in the circumstances of the case, the Appellate Tribunal was right in law in treating the shares of Pondicherry Papers Ltd., as unquoted on the valuation date relevant for the assessment year 1985-86? 2. Whether, on the facts an....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....mited were listed in the Madras Stock Exchange and he valued the shares at the price quoted in the stock exchange, namely, Rs. 10.75 per share. The Commissioner of Income-tax (Appeals-I), Madurai, on appeal allowed the appeal preferred by the assessee on the ground that the shares though quoted in the Madras Stock Exchange and the certificate from Madras Stock Exchange revealed that the official r....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... quoted shares. The Tribunal therefore held that the value quoted in the stock exchange need not be adopted as the market value of the share, in view of the fact that there was no transaction from 1979 and the value of the share was a negative figure. The Tribunal directed the Wealth-tax Officer to value the shares on yield basis. This order of the Tribunal is challenged by the Department and on t....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....rted by notification dated March 31, 1986, to hold that the shares were unquoted shares is not proper. We hold that the basis for the conclusion of the Tribunal that the shares are unquoted shares is based on a non-existing rule and it has influenced the mind of the Tribunal to arrive at its decision. It is not clear how much the non-existing rule influenced the mind of the Tribunal to arrive at i....