K. A. THANIKKACHALAM J.

In accordance with the direction given by this court in T. C. P. Nos. 546 to 548, 556 and 557 of 1982, dated April 11, 1983, the Tribunal referred the following questions for the opinion of this court, in the case of both the assessee as well as the Department, under section 27(3) of the Wealth-tax Act, 1957 Tax Cases Nos. 864 to 869 of 1984

"1. Whether, on the facts and in the circumstances of the case, the Tribunal was right in holding that the estate duty liability of Rs. 1, 66, 48, 868 cannot be allowed as a deduction and the value of shares has to be only on the basis of the 'book values' of assets/liabilities as indicated in the books on the valuation date?

2. Whether the Tribunal was right in restricting the deduction of estate duty liability to Rs. 65, 50, 453 (only being the provisional demand) as against Rs. 1, 66, 48, 868 being the estate duty finally determined as payable, in valuing the share of Amalgamations Ltd.?

3. Whether the Tribunal was right in restricting the deduction to Rs. 35, 50, 453 being the balance of provisional demand of estate duty, as against Rs. 1, 36, 48, 868 being the balance of estate duty finally determined as pay