27 August 2016
Our Land was compulsory acquired by Govt for a highway project . Payment received during Aug, 2016 with interest for 571 days Rs 80 Lakh. Land is in the Panchayat area but it is 2 KM from municipal area whose population is 25000/-. The land was used for agricultural purposes continuously. Please clarify if the amout comes under capital gain in the current year or later years.
28 August 2016
Dear Pankaj,
Section 10(37) is meant to grant exemption in case of compulsory acquisition of agriculture land by the way Government. That too- Urban Agriculture Land.
as if you covered under urban land so it will not attract capital gain.
kindly like if my response has helped you
CAclubindia
