Agriculture land

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

24 August 2013 Dear sir,

i am going to purchase a agriculture land
which is situated in rural area and below 10,000 population.
i want to know that i have to pay tax or not
or how can make it exempt

Please guide me....

Ajay Mishra

Ajay Mishra (Expert)
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24 August 2013 Hi

Income Tax on agriculture land in India and what do we mean by rural agriculture land for calculation of capital gain on agriculture property. Rural Agriculture land is not considered as capital asset as per section 2(14) of the Income Tax Act.

Rural agriculture land means an agriculture land in India:

It situated in any area which is comprised within the jurisdiction of a municipality ( whether known as a municipality, municipal corporation, notified area committee, town committee or by any other name) and its population should be less than 10,000 as per the last published census, or

If situated outside the limit of municipality, etc., it should be situated certain kilometers away from the local limits of any municipality, etc. as may be specified by the Central government in the official Gazette. The Central government can notified urban land upto maximum 8Kms from the limits of municipality, etc.Which are the Assets not Taxed under Capital Gain Head of Income Tax Act

Querist : Anonymous

Querist : Anonymous (Querist)

24 August 2013 Dear sir

It is fully exempt
if 3 of above provision fulfilled.
or i have to pay any extra charge.

please.. ans

Ajay Mishra

Ajay Mishra (Expert)
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24 August 2013 No, you will not paid any extra charges on it.

Message likes : 1 times

Querist : Anonymous

Querist : Anonymous (Querist)

24 August 2013 Thanks a lot sir

Ajay Mishra

Ajay Mishra (Expert)
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