Let-out Commercial Property is not to be considered as Asset for Wealth Tax purposes

CA Kanhaiya Kumar Agarwal

Brief Facts of the Case and Question of Law:

Brief Facts

The Assessing Officer while computing the total wealth of the assessee added the value of the let-out properties i.e. godown and offices in the total wealth of the assessee for the purpose of calculating the wealth-tax. The assessee claimed that the let-out properties are not assets within the meaning of section 2(ea) of the Wealth Tax Act. The Assessing Officer did not agree. The assessee went in appeal before the CIT(Appeals) and the CIT(Appeals) deleted the addition after verifying and noting that the assessee has given the factory building/ godown building on rent. This fact has not been denied by the Revenue.

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