2014 (11) TMI 1198

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....right in law in holding that agricultural land within the municipality are subjectable to Wealth Tax being a part of the assets as defined under Section 2(ea) of the Wealth Tax Act? 2. Whether in law the ld. Tribunal is right in holding that land covered by trees on which construction for the time being is not possible well within the definition of assets for the levy of Wealth Tax Act even though construction was not possible on the valuation date? 3. Whether land on which construction is not possible, being covered by trees possesses market value that too similar to that of the lands on which construction is possible?" 3. Key facts, necessary for the adjudication of this appeal are that the notice was issued to the ap....

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....ne through the orders passed by the Wealth Tax Officer dated 27.12.2006, Commissioner of Wealth Tax (Appeals) dated 22.9.2008 and Income Tax Appellate Tribunal, Chandigarh Bench, dated 30.1.2009. The appellant has also placed on record the copy of the jamabandi in respect of the agricultural/non-agricultural land owned by the appellant. 6. Mr. Vishal Mohan, Advocate, for the appellant has drawn the attention of this Court to the amendment carried out in Section 2(ea)(b) retrospectively w.e.f. 1.4.1993, as per the Finance Act, 2013. It reads as under: "2(ea)(b). "urban land" means land situate- (i) in any area which is comprised within the jurisdiction of a municipality (whether known as a municipality, municipal corpora....

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....on which construction of building is not permissible under any law for the time being in force, in the area in which the land is situated, would not fall within the ambit of expression "urban area". The land of the assessee is agricultural land though situated in the municipal limits of M.C. Shimla. No construction is permissible in the forest land without the permission of the Municipal Corporation Building Bye-laws and Town and Country Planning Act. 8. In the case of Commissioner of Wealth Tax versus D.C.M. Ltd., reported in (2007) 290 ITR 615 (Delhi), the Hon'ble Division Bench has held that once the land or any building thereupon making it a combination of land and building is not urban land, then it could not be an asset as defi....