bill no 8% of 1982  the estate duty (amendment) bill, 1982 a billfurther to amend the estate duty act, 1953 bp; it enacted by p~liament in the thirty-third year of the republic of india as follows:-1 this act may be called the estate duty (amendment) act, 1982 short title 34 of 1953 z in section 5a of the estate duty act,' 1953 (hereinafter referred 5 to as the principal act), after sub-section (2a) , the following sub-section shall be inserted, namely:-amendmentof section sa "(2b) the, amendments made to this act by sections 3 to 6 of the estate duty (amendment) act, 1982, shall apply, and shall be deemed to have applied, on and from the 1st day of march, 1981, to 10 estate duty in respect of agricultural lands situate in the territories comprised in-(4) the states of bihar, gujarat, haryana, himachal pradesh, madhya pra'desh, maharashtra, orissa and tamil nadu; and (b) any other states which the central government may 's by notification in the official gazette, specify in this behalf after resolutions have been passed by the legislatures of those states adopting the proposals with respect to such amendments or the said amendments, as the case may be, under clause (1) of article 25201 the constitution" insertion of new section 16a 3 after section 16 of the principal act and before the heading icspecia} ptoviaions 7'elating to transfers to companies", the following section shall be inserted and shall be deemed to have been inserted with effect from the 1st day of march, loot, namely:-interest of the deceased in buudin~ allotted or leased' to him by a co-operative society il6a where at the time of his death, the deceased was a member 5 of a co-operative society, being a co-operative housing society, and a building or part thereof allotted" or leased to him under a house building scheme of the society, continued to remain allotted or leased to him at the time of his death, he shall, notwithstanding anything contained in this act or any other law for the time being in 10 force, be deemed to be the owner of such building or part at the time of his death and such building or part shall be deemed to pass on his death and, in determining the value of such building or part, the value of any outstanding instalments of the amount payable under such scheme by the deceased at the time of his death to the 15 society towards the cost of such building or part and the land appurtenant thereto shall, whether the amount so payable is described as such or in any other manner in such scheme, be allowed as a debt owed by him in relation to such building or part 2 of 1912 explamtion-for the pullposes of this section and section 33, sio "co-operative society" means a co-operative society registered under the co-operative societies act, 1912 or under any other law for the time being in force in any state for the registration of co-opel'ative societies' ' ~-' , c in section 33 of tlie principal act, in sub-section (1), after clause 25 (n), the following clause shall be inserted and shall be deemed to have been inserted with effect from the 1st day of march, 1981, namely:-amendmentol aectlod 33 "(nn) any deposits with a co-operahve society, bein~ a c0-operative housing society, made by the deceased who wac; a mem1jer of the society to whom a buildin~ or part thereof was allotted or go leased under a house building scheme of the society, where such deposits had been made under sucli scheme;" 5 in section 36 of the principal act, after sub-section (2), the followin~ sub-section shall be inserted and shall be deemed to have been inserted with effect from the 1st day of march, 1981, namely:-35 amendmentof section 88 1(3) notwith!'!tanding anything contained in sub-section (1) or sub-section (2)" the principal value of one residential house or part thereof belonmn~ to the deceased (which the rccountable pers~n may at his option specify in writing in this behalf)" s11a11 be,-"(a) where the value of such house or part is included in 40 computing the net wealth of the deceased for the purposes of -making an assessment under the wealth-tax act, 1957 (hereafter 27 qt 1957 in this sub-section referred to as the wealth·tax act) in respect of his net wealth on the valuation date immediately precedin~ the date of his death, the value as taken bv the wealth-tax offieer 45 tor the purposes of wch assessment; an4 (b) in any other case, the value of such house or part,_ (i) on the said valuation date; or 5 10 (ii) where such house or part was constructed, acquired or otherwise became the property of the deceased after the said valuation date, on the date of his death , as determined by the contr~uer in accordance with the provisions of the wealth-tax act· and the rules made thereunder; and, for this purpose, in a case where the provisions of sub-section (4) of section 7 of that act apply, the provisions of that sub-section shall have effect as if the words "throughout the period of twelve months immediately !preceding the valuation date", occurring therein, had been omitted and as if the references therein to the option of the assessee had been references to the option of the accountable person 20 explanation 1-where the value adopted to be the value of a house or part in accordance with the provisions of clause (a) of this sub-section is subsequently varied by an order in any proceeding under the wealth-tax act, the value as so adopted shall be deemed to be a mistake apparent from the record within the meaning of section 61 and the controller shall rectify the order, if any, passed by him, by substituting for the value as so adopted the value as so varied and the provisions of the said section shall apply accordingly, the period of five years specified in that section being reckoned from the date of the order under the wealth-tax act varying the value of the house or part explanation 2-for the purposes of this sub-section,  the expressions "net wealth", "valuation dateand "wealth-tajq officer" shall have the same meanings as in the wealth-tax act'  • in the second schedule to the principal act, for part i, the follow-amend-30 ing part shall be substituted and shall be deemed to have been substimeat of tuted with effect from the 1st day of march, 1981, namely:-=:'le  "part iin the case of any property which passes or is deemed to pass on the death of the deceased-nil; s5 (1) where the principal value of the estate does not exceed rb 1,50,000 ]0 per cent of the amount by which the principal value of the estate exceeds rs 1,50,000; (2) where the principal value of the estate exceeds rs 1,50,000 but does not exceed rs 2,00,000 (3) where the principal value of the estate exceeds rs 2,00,000 but does not exceed rs 3,50,000 45 (4) where the principal value of the estate exceeds rs 3,50,000 but does not exceed rs 5,00,000 rs 5,000 plus 15 per cent of the amount by which the principal value of the estate exceeds rs'2,oo,000; rs 27,500 plus 25 per cent of the amount by which the principal value of the estate exceeds ri 3,50,000; rs 65,000 plus 30 per cent of the amount by which the principal (5) where the principal value of the estate exceeds rs 5,00,000 but does not exceed rs 10,00,000 va1u~ of the estate exceeds rs 5,00,000; \ (6) where the principal value of the estate exceeds rs 10,00,000 but does not exceed rs 15,00,000 (7) where the principal rs 2,15,000 plus 40 per cent of the 5 amount by which the principal value of the estate exceeds ri 10,00,000;  - rs 4,15,000 plus 50 per cent of the amount by which the principal 10 value of the estate exceeds rs 15,00,000; valu~ of the estate exceeds rs 15,00,000 but does not exceed rs 20,00,000 (8) where the principal value of the estate exceeds rs 20,00;000 rs 6,65,000 plus 85 per cent of the amount by which the principal value of the estate exceeds 15 rs 20,00000" i this bill seeks to amend the estate duty act, 1953 mainly with a view to providing certain concessions in relation to estate duty 2 one of the amendments proposed sepks to raise the exemption limit of estate duty from rs 50,000 to rs 1,50,000 the rate of estate duty in the first slab of estate range of rs 1,50,001 to rs 2,00,000 will be 10 per cent, ie, the same rate as is applicable at present in the estate range of rs 1,00,001 to rs 2,00,000 the rate schedule of estate duty is proposed to be recast accordingly  3 under another amendment, the value of one residential house belonging to the deceased would, for purposes of estate duty, be taken at the same value as determined by the wealth-tax officer for the purposes of assessment or the net wealth of the deceased on the valuation date immediately preceding the date of death of the deceased where the value of such house is not 80 included in the net wealth of the deceased, its value would be detennined by the controller in accordance with the provisions contained in the wealth-tax act and the rules made thereunder 4 another amendment seeks to make a provision similar to that contained in the iucome-tax act, 1961 and the wealth-tax act, 19m, to secure that where the deceased was a member of a co-operative housing / society the value of one house or part thereof allotted or leased to him under a house-building scheme of the society would be treated as a house owned by the deceased, thus qualifying for the concessional treatmedt accorded to residential house property 5 the other amendments proposed in the bill are of a consequential nature 6 the amendments are being made with retrospective effect from the 1st day of march, 1981 and accordingly the proposed concessions will also be available in relation to estate duty in the case of persons who have died after the 28th february, 1981 7 the bill seeks to achieve the above objects new delhi; pranab mukherjee the 26th april, 1982  president's recommendation under articles 117 and 2'74 of the constitution of india[copy of letter no f 13/fb/81-tpl dated the 25th june, 19'82 from shri pranab kumar mukherjee, minister of finance to the secretary, lok sabha] the president having been informed of the subject matter of the proposed bill further to arnend the estate duty act, 1953, has recommended under article 117(1) and article 274(1) of the constitution of india the introduction of the estate duty (amendment) bill, 1982, in , the lok sabha  extracts from the estate duty act 1953exemp· tions (34 of 1953) - - - - - 33 (1) to the extent specified against each of the clauses in this sub·section, no estate duty shall be payable in respect of property of any of the following kinds belonging to the deceased which passes on his death- - - - - - the second schedule (see sections 5, 20a and 35)  rates of estate duty part iin the case of any property which passes or is deemed to pass on the death of the deceased-nil (1) wliere the principal value of the estate does not exceed rs50,ooo (2) where the principal value of the estate exceeds rs 50,000 but does not exceed rs 1,00,000 (3) where the principal value of the estate exceeds rs 1,00,000 but does not exceed rs 2,00,000 4 per cent of the amount by which the principal value of the estate exceeds rs 50,000; rs 2,000 plus 10 per cent of the amo'unt by which the principal value of tm arate exceeds rs 1,00,000; (4) where the principal value of the estate exceeds rs 2,00,000 but does not exceed rs 3,50,000 i i:"~ \  (5) where the principal value of the estate exceeds rs 3,50,000· but does not exceed rs 5,00,002 rs 12,000 plus 15 per cent of the amount by which the principal value 'of the utate exceeds rs 2,00,000; rs 34,500 plus 25 per cent of the amount by which the principal value of the estate exceeds rs 3,50,oooj (6) where the principal value of the estate exceeds rs 5,00,000 but does not exceed rs 10,00,000 (7) where the principal value of the estate exceeds rs 10,00,000 but does not exceed ri 15,00,000 rs 72,000 plus 30 per cent of the amount bv which the principal value of the eatate exceeds rs 5,00,000; rs 2,22,000 plus 40 per cent of the amount by which the principal value of the estate exceeds rs 10,00,000; (8) where the principal value of the estate exceeds rs ·15,00,000 but does not exceed rs 20,00,000 rs 4,22,000 plus 50 per cent of the amount by which the principal value of the estate exceeds rs 15,00,000; (9) where the principal value of the estate exceeds rs 20,00,000 rs 6,72,000 plus 85 per cent of the amount bv which the principal value of the estate exceeds rs 20,00,000   billfurther to amend the estate duty act, 1953 (shri pranab kwmar mukherjee,  minister of fi1l4nce) 