Opinion Of Eminent Legal Luminaries On Controversial Issues

Whether Plot Of Land Given On Rent Is An Asset?

QUERY: Please enlighten whether the plot of land given on rent for use by the tenant for storing his stone blocks/cattles rest will be Treated asset or not, for the purpose of Wealth tax?
ANSWER: The plot of land given on rent is an asset u/s. 2(ea) of the Wealth Tax Act, 1957, as the same does not fall under the exception of meaning ‘urban land’. Further, the definition of ‘assets’ excludes only ‘any residential property that has been let out for a minimum period of three hundred days in the previous year.’

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