COMMISSIONER OF WEALTH-TAX, ANDHRA PRADESH vs OFFICER-IN-CHARGE (COURT OF WARDS) PAIGAH

The Supreme Court interpreted 'agricultural land' under Section 2(e)(i) of the Wealth Tax Act, 1957, holding that only land actually or ordinarily used for agricultural purposes qualifies for exemption from wealth tax. The Court emphasized that the definition should not be overly broad and must align with the statute's purpose of taxing surplus wealth. The ruling clarified that the character of land must be determined based on actual use and intention, rather than mere potential for agricultural use, thus allowing the appeal and reversing the High Court's decision.