ITAT Denies Section 54B Exemption for Failure to Prove Actual Agricultural Use

Gajarsingh Mangusingh Rathod Vs ITO (ITAT Nagpur) The ITAT Nagpur in Gajarsingh Mangusingh Rathod Vs ITO upheld the denial of exemption under Section 54B of the Income Tax Act on the ground that the assessee failed to establish actual agricultural use of the land during the prescribed period preceding its transfer. The Tribunal held that mere classification of land as agricultural in revenue records is insufficient for claiming exemption unless supported by evidence showing active agricultural operations. The assessee, an individual, filed return of income for AY 2016-17 declaring total income...