Agricultural income

This query is : Resolved

CA Sunil Kumar Jain (Querist)
Follow

16 November 2012 is sale of agricultural land is revenue u/s 2(1A).

if not then where "the surplus", if any, out of the above will be taxable??

CA SAYANTAN BASU

CA SAYANTAN BASU (Expert)
Follow

17 November 2012 Dear sir ,

1. The sale of rural agricultural land is not taxable because it does not come under definition of capital asset u/s 2(14) .So it is not taxable ....

2. The sale of urban agricultural land is taxable because it does not come under definition of capital asset u/s 2(14).So it is taxable ....

3. if urban agricultural land has been held less than 36 months then in that case ....it should be short capital gain otherwise it will be long term capital gain ..........

HOPE THIS WILL SOLVE YOUR QUERY

CA Sunil Kumar Jain

CA Sunil Kumar Jain (Querist)
Follow

17 November 2012 my question was ...is sale of agricultural land is agricultural income????

Gayathri Devi

Gayathri Devi (Expert)
Follow

17 November 2012 No it is Capital Gain

CA Sunil Kumar Jain

CA Sunil Kumar Jain (Querist)
Follow

21 November 2012 as i know...rural agricultural land is not capital asset, so there is no question of capital gain......m i right???

CA SAYANTAN BASU

CA SAYANTAN BASU (Expert)
Follow

21 November 2012 Dear sir ,
As per accounts you should show as a profit from the sale of agricultural land but as there is no tax implications therefore it will not come in the income tax return ..............

Message likes : 1 times

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now