- (1.) THE Tribunal, New Delhi, has referred the following question of law under s. 27(1) of the WT Act, 1957 (hereinafter referred to as "the Act") for opinion to this Court : "Whether the Tribunal is legally correct in holding that the assessee was entitled to exemption under s. 5(1)(iv) of the WT Act in respect of his share in the value of immovable property which belonged to the firm of which the assessee is a partner -
(2.) THE reference relates to the asst. yr. 1981 -82. The respondent is a partner in the firm M/s Kanhaiya Ice Factory and M/s Agarwal Enterprises. These two firms own certain immovable properties. The IAC who had made the assessment, took the value of these properties at a figure higher than what was shown in the balance sheet. He, however, declined to allow exemption under s. 5(1)(iv) of the Act. The CWT(A), however, allowed the claim of the respondent. The Revenue appealed before the Tribunal but has failed.
(3.) WE have heard Shri A.N. Mahajan, the learned counsel for the Revenue. Nobody has put in appearance on behalf of the respondent. A perusal of s. 5(1)(iv) of the Act shows that the deduction is permissible in respect of one house or part of the house. A Division Bench of this Court in the case of CIT vs. Jai Kishan Gupta (2003) 185 CTR (All) 340 : (2003) 264 ITR 482 (All) has held that exemption under s. 5(1)(iv) of the Act is not available to a cinema building as it is not a building for human habitation of a dwelling or a home and a cinema hall is not a house at all.;