20 January 2013
As per clause (iv)(ea)of section 2 of Wealth Tax Act, 1957, yachts, boats and aircrafts (other than those used by the assessee for commercial purposes) are falling in the ambit of the term "Assets".
The term commercial purposes has a wide spectrum and expect a strong and convincible nexus between the use of the assets and the business.
Accordingly the circumstances of journey, director's qualification / experience / skills with respect to nature of business, distance of journey etc. will matter if you substantiate the activity is falling / said to be commercial.
CAclubindia
