2002 (7) TMI 31

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.... of the Revenue, the following question of law is referred for our opinion in respect of the assessment year 1979-80. "Whether the Tribunal is right in law and on facts in holding that the assessee is entitled to exemption under section 5(1)(xxxii) of the Wealth-tax Act, 1957, in respect of her capital interest in the firm of Raja Textile Mill?" We have heard Mrs. Mauna Bhatt, learned standi....

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....rm. The Tribunal confirmed the order of the learned Appellate Assistant Commissioner. At the hearing of the reference, Mrs. Bhatt for the Revenue has pointed out that in the instant case the partnership firm was getting the goods prepared by an outside agency and therefore was not entitled to exemption under section 5(1)(xxxii) of the Act. Learned counsel heavily relied on the decision of the D....

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....its own, though not at the factory premises of the firm. Nor was it the case that the processing of the cloth by that outside agency was in any way connected with the carrying on of the business of the firm. No direct involvement of the firm with any processing act had been found to exist. In that view of the matter, the assessee could not be said to have interest in a firm which was engaged in th....