My agricultural land was recently compusorily acquired for road widening. The land is situated outside 8kms of the municipality. However, I am not sure whether the population is less or more than 10000. Will the compensation I have received attract capital gains tax??
If so can I invest the proceeds is capital gain exemption bonds (under sec 54EC) using the proceeds from agriculturl land acqusition?
12 May 2012
even your area has population more than 10000 still this area has to be notified by the central government. dont worry your capital gains are exempt to tax. and i think your capital gains are also exempt under section 10.
CAclubindia
