Hon'ble Judges/Coram:
A.K. Sikri and Rohinton Fali Nariman

JUDGMENT

A.K. Sikri, J.

1. Leave granted in SLP (C) No. 18960 of 2006.

2. The question of law that falls for determination is common to all these appeals, which is the following:

Whether, for the purposes of Wealth Tax Act (hereinafter referred to as the 'Act'), the market value of the vacant land belonging to the Assessee should be taken at the price which is the maximum compensation payable to the Assessee under the Urban Land Ceiling Act, 1962?

3. For the purposes of understanding the circumstances under which this question has arisen, we are taking note of the facts of Civil Appeal Nos. 6873-6881/2005:

The Appellant herein is assessed to wealth tax under the Act. The Assessment Years in these appeals are 1977-1978 to 1986-1987. The valuation of the property which is the subject matter of wealth tax under the Act is the urban land appurtenant to Bangalore Palace (hereinafter referred to as the 'Property'). The total extent of the property is 554 acres or 1837365.36 sq. mtr. It comprises of residential units, non-residential units and land appurtenant thereto, roads and masonary structures along the contour and the vacant land. The vacant land measures 11,66,377.34 sq. mtr. The aforesaid Property was the private property of late Sri Jaychamarajendra Wodeyar, the former ruler of the princely state of Mysore. He died on 23.09.1974. There were disputes with regard to the wealth tax assessments pertaining to the Assessment Years 1967-1968 to 1976-1977. After the death of Sri Jayachamarajendra Wodeyar, his son Sri Srikantadatta Wodeyar, the Assessee applied to Settlement Commission to get the dispute settled with regard to valuation of Property and lands appurtenant thereto for Assessment Years 1967-1968 to 1976-1977. While this application was still pending, the Urban Land (Ceiling and Regulation) Act, 1976 (hereinafter referred to as the 'Ceiling Act') came into force w.e.f. 17.02.1976. It was adopted by the State of Karnataka. The property area is within the Bangalore Urban Agglomeration, hence fell within the purview of the Act. The Assessee filed statement as required Under Section