1983 (4) TMI 66

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....red on fixed deposit receipts on which wealth-tax was not chargeable. When the matter went up in appeal, it was claimed before the AAC that apart from the fixed deposit receipts of the aggregate value of Rs. 1,09,361 the assessee also owned shares of the value of Rs. 73,811 saving deposits of Rs. 1934 and C.D.S. of Rs. 23,500 the aggregate of which amounted to more than Rs. 2,00,000 while the exemption u/s 5(1A) for all these items was limited to the total value of Rs. 1,50,000 only. The AAC, considering this claim, came to the conclusion that the amount of the fixed deposits was not totally exempt from tax and only a limited deduction was available in regard to the value of the fixed deposits. The ACC, therefore, held that the assessee was....

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....834 (Mad) in support of the contention that where a debt was secured on a property which was partly exempted from wealth tax and partly liable to wealth-tax, it cannot be said that the debt was secured on an item of property on which wealth-tax was not chargeable. Elaborating on his argument, Shri Rastogi pointed out that the assessee not only had bank fixed deposit receipts of the aggregate value of Rs. 1,09,361 but also shares of the value of Rs. 73,500 and the aggregate of the value of these items amounted to more than Rs. 2 lacs whereas the total exemption on the value of these items was limited as laid down by sub-s. (1A) of s. 5 of the WT Act, Rs. 1,50,000 only. He therefore, supported the order of the AAC and submitted to us that the....