1987 (7) TMI 145

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.... of by this single order. 2. The dispute in these appeals relates to the assessee's claim of deduction of Rs. 40,000 on account of loan taken from the LIC in the computation of his net wealth. The WTO was of the opinion that no portion of the loan from the LIC can be allowed because as per definition of net wealth given in s. 2(m)(ii) no debt could be allowed to be deducted where the same had b....

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.... incurred in relation to any property in respect of which wealth-tax was not chargeable could not be allowed as deductions. However, as has been pointed out by the AAC, the assessee has spent the loan in the construction of the house. The WTO has not pointed out that the value of the insurance policy was sufficient to cover the loan. What has been only proved is that the loan has been taken from t....