S S SANKARALINGAM Vs. COMMISSIONER OF WEALTH TAX

JUDGEMENT

(1.) IN these tax case petitions, the assessee requests this court to direct the Tribunal to refer the following common questions of law said to arise out of the common order of the Tribunal for the assessment years 1986-87, 1987-88 and 1988-89 under section 27(3) of the Wealth-tax Act for the opinion of this court."1. Whether, on the facts and in the circumstances of the case, the Tribunal was right in holding that there was no evidence regarding transfer of land in favour of the trust?.2. Whether, on the facts and in the circumstances of the case, the Tribunal was right in determining the value at Rs. 1, 05, 750 having regard to the fact that the assessee had given up his claim over the land and buildings?"

(2.) THE assessee owns 223 1/2 cents of land along with a compound wall. THE assessee permitted a trust, Sivaguru Sundaravel Charitable Trust, to construct buildings to run a women's hostel and also for establishing a pharmacy college. In the wealth-tax proceedings relating to the assessment years under consideration, the assessee claimed that since he had parted with the possession and enjoyment of the land in favour of the trust, no wealth-tax can be levied against the assessee with regard to the land in question. However, the Wealth-tax Officer, considering the fact that there is no registered sale deed executed by the assessee in favour of the trust, held that the value of the land is assessable in the hands of the assessee herein.