SUPREME COURT OF INDIA

Before:- S.P. Bharucha, Y.K. Sabharwal and Mrs. Ruma Pal, JJ.

Civil Appeal No. 309-311 of 1993. D/d. 21.9.2000.

Commissioner of Wealth-tax, Gujarat - Appellant

Versus

Shilaben Family Trust and others - Respondents

Wealth-tax Act, 1957, Section 7 - Wealth-tax Rules, 1957, Rule 1D - Wealth Tax - Net wealth - Valuation of assets - Valuation of unquoted shares has to be worked out as per Rule 1-D of the Wealth Tax Rules, 1957.

[Paras 1 and 2]

Cases Referred :-

Commissioner of Wealth Tax v. Ashok K. Parikh, (1981) 129 ITR 46 .

Bharat Hari Singhania v. Commissioner of Wealth Tax, (1994) 207 ITR 1 .

JUDGMENT

The High Court answered the following question in the affirmative and in favour of the assessee :

"Whether the Tribunal is not right in law and on facts in directing that the values of unquoted shares of Cadila Laboratories Pvt. Ltd. be worked out as per Rule 1-D of the W.T. Rules as interpreted by the Gujarat High Court in the case of Ashok K. Parikh, (1981) 129 ITR 46 .

It relied upon its earlier judgment in the cases of Commissioner of Wealth Tax v. Ashok K. Parikh, (1981) 129 ITR 46 .

2. The issue raised by the question was considered by this Court in the case of Bharat Hari Singhania v. Commissioner of Wealth Tax, (1994) 207 ITR 1 AIR 1994 Supreme Court 1355 ) and a contrary view was taken.

3. Accordingly, following the said judgment of this Court, the civil appeals are allowed and the order under appeal is set aside.

4. No order as to costs.

Appeals allowed.