Per Shri George Cheriyan, Accountant Member - These are appeals by two assessees who were partners in a firm, relating to the assessment year 1978-79, and they arise out of the wealth-tax proceedings. We deal with the facts in the case of one of the partners, i.e., Sri Mitta Mahendra Chetty. The facts in the case of the other partner are identical and hence the same decision would hold good.

2. The valuation date is 31-3-1978 and the assessment made is in the status of a HUF. The assessee had made on 23-11-1977, a fixed deposit of Rs. 25,000 with a bank and had claimed exemption of the aforesaid amount. The WTO rejected the claim for exemption observing as under :

"Add Back : Fixed deposit amount in the assessee's name on 23-11-1977 to the extent of Rs. 25,000 : Exemption claimed but rejected for the following reasons : The assessee claims that the firm in which the assessee was a partner had a deposit of Rs. 1 lakh which matured on 23-11-1977 and the assessee had a half share in the firm and, consequently, in the deposit. Subsequently, one-fourth share of deposit (Rs. 25,000) was renewed in the assessee's individual name with the bank, i.e., to the extent of Rs. 25,000. and the