Case Law Details
Wipro GE Healthcare Pvt. Ltd. Vs DCIT (ITAT Bangalore)
We notice that there was difference of opinion between the assessee and the AO in respect of extent of land that is assessable to wealth tax. While the case of revenue is that entire vacant land admeasuring 2,54,020.58 sq.ft is assessable to wealth tax, the case of the assessee is that only 58,605.54 sq.ft is assessable to wealth tax. In AY 2007-08, the AO did not assess entire vacant land admeasuring 2,54,020.58 sq.ft in the original assessment order passed u/s 143(3). Hence the AO has passed the impugned rectification order to assess correct entire extent of vacant land. The fact remains that the AO is assessing the value of entire portion of vacant land year after year. Hence, merely because the assessee is contesting the same in AY 2006-07 by filing appeal, in our view, it cannot become a debatable issue. In our view, it is a clear case of mistake apparent from record in not assessing entire area of vacant land as per the stand taken by the revenue. Hence, we are of the view that the AO was justified in passing the impugned rectification order in order to rectify the mistake that occurred in area of vacant land.
FULL TEXT OF THE ORDER OF ITAT BANGALORE
All the three appeals have been filed by the assessee challenging the orders passed by Ld. CIT(A)-10, Bengaluru and they relate to the assessment years 2007-08, 2011-12 & 2012-13. All these three appeals were heard together and are being disposed of by this common order for the sake of convenience.
2. The only dispute urged in all the three appeals relate to valuation of land located at Kadugodi Industrial area, Bengaluru for wealth tax purposes. While the assessee claims that only 58,605.54 sq.ft. only is assessable to wealth tax, the revenue case is that 2,54,020.58 sq.ft is assessable to wealth tax. Thus there is a difference of 1,95,415.04 sq.ft between the two parties.
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