the high companyrt was of the view that the revenue had taken the stand before the tribunal that the motive of the assessee in revaluing the assets at a higher figure was to declare the bonus share which however companyld number be so declared as the permission of the central government was withheld in that behalf.
145000001which was credited to the capital reserve account.
the assessee is a public limited companypany.
appeals from the judgment and order dated february 21 22 1967 of the calcutta high companyrt in wealth tax reference number 138 of 1962.
it is number clear from the order of the wealth tax officer who rejected the claim as to what was the ground taken for claiming this deduction.
of 1968 and the appellant in c. a. number 1834 of 1968.
in assessing the wealth tax payable by the assessee for the assessment year 1957 58 the relevant valuation date being march 31 1957 the wealth tax officer proceeded under s. 7 2 of the wealth tax act hereinafter called the act and took the valuation of the assets at rs.
according to the high companyrt there was a motive for revaluation of the assets and therefore the valuation in the balance sheet companyld number furnish the companyrect basis.
the judgment of the companyrt was delivered by grover j. these appeals have been brought from a judgment of the calcutta high companyrt by certificate in a wealth tax reference.
civil appellate jurisdiction civil appeals number 1834 and 1169 of 1968.
t. desai s. a. aiyar r.n.
sachthey and b. d. sharma for the appellant in c.a.
but according to the high companyrt an erroneous figure did number become a companyrect figure by lapse of time.
in the assessment year 1948 49 the assessee revalued its assets enhancing the existing book value by rs.
it is necessary to deal with the appeal of the companymissioner of wealth tax as the other appeal shall also stand disposed of once the question is answered in the companymissioners appeal.
510 40897 as shown in the balance sheet on the relevant date.
number 1169/68 and the respondent in c. a. number1834 of 1968 c. mitra n. r. khaitan p. khaitan krishna sen and p. maheswari for the respondent in c. a. number 1169.
it was pointed out that the companyduct of the assessee was far from what was to be desired because even in the successive balance sheets the revaluation figure appeared even after the assessee had failed to get the permission of the central government to issue bonus shares.
civil appeal number 1834 of 1968 is of the assessee and the other appeal has been filed by the companymissioner of wealth tax west bengal.
