TaxTMI 
TaxTMI 
2021 (7) TMI 50
X X X X Extracts X X X X
X X X X Extracts X X X X
....ppeals, the same were clubbed and heard together, therefore, a common order is passed for the sake of convenience. The grounds raised in both the appeals are common, which are as under: "1. On the facts and in the circumstances of the case, the order of the learned Commissioner of Wealth Tax (Appeals) is contrary to law and facts of the case. 2. The learned CIT(A) misconstrued the provisions of 'Note to finance bill 2013' and applied the same to the impugned assessment year when the said bill and corresponding provisions are applicable to assessment year 2014-15 onwards. 3. The learned CIT(A) erred in treating the agriculture lands situated. at Dundigal (v) Bowrampet (v) and Ravada (v) as an asset though t....
X X X X Extracts X X X X
X X X X Extracts X X X X
....me for the AY 2007-08, the AO issued notice u/s 17 of the WT Act to the assessee on 28/03/2014 after obtaining approval of the competent authority. Subsequently, notice u/s 16(2) of the Act issued to the assessee, against which, the AR of the assessee furnished the details. 2.1 On verification and examination of the details furnished, the AO noticed that the assessee had claimed the following the immovable properties as exempt in the wealth return: i) Agricultural land at Dundigal (V) 3 acre Rs. 4,78,500 ii) Agricultural land at Dundigal Village (SY.No. 661/1, 672/1 & 674/3) Rs. 4,38,190 iii) Agricultural land at Bowrampet (V) Sy.NO. 156 Rs. 4,01,910 iv) Plot Nos. 18 & 20 at Gajularamaram Rs. 5,20,050 v) Agricu....
X X X X Extracts X X X X
X X X X Extracts X X X X
....t, a let out property cannot be treated as an asset. Accordingly the assessee has shown the Flat at Banjara Hills as exempted wealth in the computation of wealth filed for A. Y. 2007-08. Further, the assessee is also having plots bearing Nos. 18 & 20 admeasuring 472 sq.yds situated at Gajularamaram, Ranga Reddy District. As per the provisions of Sec.5(vi) of tile Wealth Tax Act, the assessee being an individual is eligible to claim exemption for a plot of land not exceeding 500 sq. mtrs. As per the said 'provisions the assessee has shown the above plots as exempted wealth for the A. Y.2007-0B as the assessee is not owning any residential house" 2.3 Rejecting the submissions of the assessee, the AO treated the lands situated ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ermissible under any law. To support his claim necessary clarification by the Deputy Collector & Tahsildar, Qutbullapur Mandai, R.R. District were produced saying that the lands held by the appellant are agriculture lands only and no application has been received for conversion of the said agriculture lands to non agriculture lands as per provisions of Sec. 3 of AP Agriculture Land (Conversion Act 2006). The AO has not considered the above submission made by the appellant and has treated the same as Assets under the provisions of wealth tax act which is not correct. 6.1 To strengthen the claim that the lands are being used for agricultural purpose, the ld. AR submitted that the assessee obtained a certificate from the Quality Control Ins....
X X X X Extracts X X X X
X X X X Extracts X X X X
....lfilled the first condition i.e. classification of the land made in the government record as agricultural lands by way of providing evidence in the shape of pattadar pass books and certificate from the revenue authorities, the assessee failed to produce evidence in support of put to use of such lands for agricultural purposes. We are of the view that once the lands are declared by the govt in its records as agricultural lands, the CWT(A) finding that the assessee failed to produce any evidence that the same are put to use for agricultural purposes is contrary to the law. The assessee has received subsidy announced by the Andhra Govt, which was directly credited into his bank account. We, therefore, set aside the order of CIT(A) and direct t....