Department should not take advantage of ignorance of assessee: ITAT

CA Sandeep Kanoi The facts of the case are that the assessment u/s 143 (3) was completed on 08-06-2009 wherein the short term capital gain of Rs. 53,98,220/- (i.e. profit on transfer of agricultural land) was charged to tax on the basis of the income declared by assessee. But the land which was the subject matter of transfer was agricultural land and being an agricultural land the asset can not be termed as capital asset as defined section 2(14) and hence the profit on transfer of such land cannot be charged as capital gain. Because of the wrong presumption about the chargeability of tax on th...