Section 50C Inapplicable Where Property Rights Relinquished Earlier by Registered Agreement

Zarir Rustom Joshi Vs ITO (ITAT Mumbai) The appeal was filed by the assessee against the order of the Commissioner of Income Tax (Appeals) under Section 250 of the Income Tax Act, 1961, for Assessment Year (AY) 2009-10. The assessee, an individual, had not filed his return for the relevant year. The assessment was reopened based on information that agricultural land bearing Survey No. 5/1, CTS No. 4083, was sold for Rs.2,08,00,000/-, of which Rs.22,00,000/- was payable to ten vendors including the assessee. Since the property fell within municipal limits, capital gains were considered chargeab...