Case Law Details
Anilkumar Kantilal Trivedi Vs ITO (ITAT Ahmedabad)
The assessee has sold agricultural land and, therefore, the same cannot be termed as capital asset and will not come under the purview of Section 50C of the Act. The reference to DVO by adopting Fair market Value was not justified in the present case as the said report whether has taken the aspect of Sale Deed of agricultural land or not has not been pointed out by the Assessing Officer. In the present case, the addition in respect of Section 50C is not justifiable since the agricultural land sale was executed on 27.09.2010 at the prevailing Jantri Rate. The registration of the sale deed was after the addition/contractual obligation relating to agricultural land converting into non-agricultural land was completed and the expenses were borne by the buyer and not by the assessee. Therefore, the addition made by the Assessing Officer does not sustain.
FULL TEXT OF THE ORDER OF ITAT AHMEDABAD
This appeal is filed by the Assessee against order dated 18.01.2018 passed by the CIT(A)-6, Ahmedabad for the Assessment Year 2012-13.
2. The Assessee has raised the following grounds of appeal :-
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What would be the case if the land was within 8 kms. of Municipal limits BUT was agricultural and regularly cultivated / ploughed and so recorded in Girdawari of crops harvested ? It would still not be capital asset attracting CG Tax ?
Read more at: https://taxguru.in/income-tax/section-50c-applies-agricultural-land.html
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