K.S. Hegde, J. - (1.) This appeal arises from a reference under Section 27 of the Wealth-tax Act, 1957, to be hereinafter referred to as "the Act". The assessee is a company liable to pay wealth-tax. It is also liable to pay income-tax. At first its previous year was the, financial year. For the assessment year 1957-58 it got its previous year changed from the financial year to the year commencing from 1st July of that year. Thereafter, its previous year ended on June 30 of every year.
(2.) In its wealth-tax proceedings for the assessment year 1957-58, the Wealth-tax Officer took the valuation date as 31st March, 1957. But according to the assessee its valuation date should have been taken as 30th June, 1957, and not 31st March, 1957. The Wealth-tax Officer rejected the contention of the assessee but in appeal the Appellate Assistant Commissioner upheld the contention of the assessee. Aggrieved by the order of the Appellate Assistant Commissioner the department went up in appeal to the Income-tax Appellate Tribunal, "B" Bench, Calcutta. The Tribunal dismissed the appeal of the department. Thereafter, at the instance of the department, the following question was referred to the High Court: "Whether, on the facts and in the circumstances of the case, and having 'due regard to the definition of 'valuation date' under Section 2(q) of the Wealth-tax Act, 1957, the Tribunal was right in holding that no assessment could be made under the Wealth-tax Act on the assessee for the assessment year 1957-58 - The High Court answered that question in the affirmative and in favour of the assesse. Thereafter, this appeal was brought after obtaining a certificate from the High Court. But, that certificate was found to be defective as the High Court had not given any reasons in support of the certificate. Thereafter, the department obtained special leave from this Court and filed Civil Appeal No. 1781 of 1971.
(3.) Valuation date, as defined in the Act, at the relevant time, in Section 2(q), reads: 'Valuation date', in relation to any year for which an assessment is to be made under this Act, means the last day of the previous year as defined in Clause (11) of Section 2 of the Income-tax Act if an assessment were to be made under that Act for that year....;