Controller of Estate Duty vs Smt. Narinder Kaur

A.K. Mathur, C.J.—This is a reference at the instance of the revenue u/s 64(1) of the Estate Duty Act, 1953, and the following question of law has been referred : "Whether, on the facts and circumstances of the case, the Tribunal was justified in confirming the action of the Controller of Estate Duty as per which the valuation of the property situated on 9/10, Lajpat Nagar, Jabalpur, is to be adopted at the same figure as taken in the wealth-tax assessment of the deceased ?"

Late Shri Rajendrasingh of Jabalpur died on 16-1-1976. The account able person was Smt. Narendra Kaur. In the course of the assessment proceedings, the accountable person had shown the value of the property No. 9/10 at Lajpat Nagar, Jabalpur at Rs. 1,75,000, half of which was taken as self-occupied. Subsequently, as per the report of the approved valuer, the same property was valued at Rs. 2,15,000, but the Assistant Controller having not been satisfied with the said valuation, referred the same to the Departmental Valuation Officer who bifurcated the property as self- occupied and tenanted and valued the same at Rs. 2,70,945 and Rs. 1,42,956, making a total of Rs. 4,13,900, which came to be adopted by the Assistant Controller. An appeal was preferred before the Controller.

The appellate authority, after considering the matter, came to the conclusion that the death took place on 16-1-1976 and placed the valuation at Rs. 2,50,000. Aggrieved by that order, the revenue preferred an appeal before the Tribunal. The Tribunal, relying on the decision of the Bombay High Court in W.T. No. 2358 of 1983, dismissed the appeal of the revenue. Hence, the revenue approached the Tribunal for making a reference to this Court and, accordingly, the Tribunal has referred the aforesaid question to this Court.

We have heard the learned counsels for the parties and perused the record. This is essentially a question of fact on the basis of various valuation reports as to how wealth of the assessee is to be assessed. In the present case, the valuer has assessed the value to the tune of Rs. 1,75,000, the approved valuer took it to Rs. 2,15,000 and the departmental valuer shot it to Rs. 4,13,900. The appellate authority, after considering the matter, reduced the same to Rs. 2,15,000 and took the basis that in fact for the wealth-tax liability, the valuation was Rs. 2,15,000 and, therefore, assessed the assessee to the extent of Rs. 2,50,000. These are all matters of assessment and appreciation of fact. Therefore, we are of the opinion that the view taken by the Tribunal affirming the decision of the appellate authority appears to be correct and we answer the question against the revenue and in favour of the assessee. The reference is answered accordingly.