Wealth Tax Act (XV of 1963)---

----S. 5(1)(vi)---Arms and ammunitions come within the purview 6T articles intended for personal use and as such enjoy exemption from the levy of Wealth Tax under SS(1)(vi)---Value of said articles cannot be included in the net wealth of the assessee.

Asghar Qazi, ITP for Appellant.

Ilyas Shaikh, D.R. for Respondent.

Date of hearing: 2^nd January 1991.

ORDER

MUHAMMAD MUJIBULLAH SIDDIQUI (JUDICIAL MEMBER).--This appeal is directed against the order, dated 29-8-1990 by the learned Commissioner of Income Tax (Appeals), Hyderabad in WTA No. 70 pertaining to the assessment year 89-90. The only objection taken by the appellant before us is as follow:--

"That the learned Commissioner of Income Tax (Appeals) was not justified in upholding the decision of the Wealth Tax Officer that the Arms and Ammunitions are not articles of personal use which the assessee has claimed exempt under section 5(1)(vi)".

2. We have heard Mr. Asghar Kazi, - learned counsel for the appellant and Mr. Ilyas Shaikh, learned Representative for the Department. Our findings on the above ground are as follows.

3. The appellant and his children possess arms and ammunitions worth Rs.24,800. The appellant claimed exemption in respect of arms and ammunitions and section 5(1)(vi) of the Wealth Tax Act, 1963 which reads as follows:

"5. Exemption in respect of certain assets.--

(i) Wealth Tax shall not be payable by on assessee in respect of the following assets, and such assets shall not be included in the net wealth of the assessee---

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(vi) furniture, household utensil, wearing apparel, provisions and other articles (excluding jewellery) and cars intended for the personal or household use of the assessee."

4 The contention was not accepted by the learned two Officers below and the learned Commissioner of Income Tax (Appeals) has held that, "regarding arms and ammunitions, arguments of the learned Advocate that they are articles of personal use and, therefore, their value is exempt, are not weighty and therefore, Wealth Tax Officer's decision regarding their valuation is justified."

5. Mr. Asghar Qazi has vehemently assailed the findings of the learned Commissioner of Income Tax (Appeals) contending that under the provisions of Arms Ordinance, 1965 the use of arms are strictly restricted to the licence holder. It cannot be used even bar the other members of the family or by servants. He has submitted that when furniture household utensils and other articles as well as cars intended for the personal use which are not restricted to the use of owner only are excluded from the assets for the purpose of computing net wealth there is no justification for including the arms and ammunitions in the net wealth of an assessee. The learned Departmental Representative is not able to controvert the contention of tire learned Representative for the appellant. The provisions contained in the Arms Ordinance, 1965 are very clear and there can be no two opinions about .it. The use of arms and ammunitions are strictly restricted and nobody except licence holder can use them. It is therefore, held that the arms and ammunitions come within the purview of articles intended for personal use and as such they enjoy exemption from the levy of wealth tax under the provision of section 5(1)(vi) of A the Wealth Tax Act, 1963. The learned two officers below were not justified in including the value of arms and ammunitions in the net wealth and, therefore, the treatment is not sustainable in law. The Wealth Tax Officer is directed to exclude the value of arms and ammunitions from the net wealth of the appellant.

6. The appeal is allowed accordingly.

M.B.A./5/TAppeal allowed.