1987 (8) TMI 21

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....nder section 27(1) of the Wealth-tax Act, 1957, to decide a common question of law in respect of the same assessee pertaining to the assessment years 1966-67 and 1968-69 to 1973-74. The common question of law as stated in the reference relating to the assessment year 1966-67 is as under: "Whether, on the facts and in the circumstances of the case, the Tribunal was justified in law in allowing d....

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....reached between the parties in 1975. The share of the assessee in this earlier undisclosed amount of Rs. 3,04,000 was Rs. 76,000, being his 1/4th share in the income. The Wealth-tax Officer included the gross amount of Rs. 76,000 in the wealth of the assessee rejecting the assessee's contention that the income-tax payable thereon had to be deducted according to section 2(m) of the Wealth-tax Act, ....

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....e on this amount had crystallised on the valuation date and, therefore, it was a " debt owed" within the meaning of section 2(m) of the Wealth-tax Act, 1957, on account of which the amount of tax due on this amount of Rs. 76,000 had to be deducted from the estimated value of the asset on the valuation date. It was pointed out that the ultimate quantification of the tax liability as a result of the....