Interest on compulsory acquistion of agriculture land

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sujeet (Querist)
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21 March 2013
One farmer has received the interest on compulsory acquisition of rural agriculture land and TDS has been deducted and my question is that whether the interest on compulsory acquisition of rural agriculture land is exempt if YES then under which ITR return should be filed?? interest amount 1166650/- TDS and whether he will get full refund??

CA.M.V.RAMACHANDRA RAO

CA.M.V.RAMACHANDRA RAO (Expert)
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22 March 2013 there is no taxability of income received on sale of RURAL agricultural land. so there is no question of TDS . He will get
refund of entire amount provided he should
not have any other income. But he has file ROI u/s139(1)to get refund. such interest also is not taxable.

sujeet

sujeet (Querist)
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22 March 2013 sir,
filing Nil return in itr 2 nd claiming refund is it correct??

CA.M.V.RAMACHANDRA RAO

CA.M.V.RAMACHANDRA RAO (Expert)
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22 March 2013 yes. File ITR-2 and claim refund by enclosing form no 16

Soumitra Basu

Soumitra Basu (Expert)
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23 March 2013 IT IS NOT FORM NO. 16 BUT FORM NO 16A.

CA Sanjeev Kr Jain

CA Sanjeev Kr Jain (Expert)
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23 March 2013 i do not agree with above, better you go to the following link

https://www.caclubindia.com/experts/interest-on-enhanced-compensation-on-compulsory-acquisition-1046574.asp#.UU2pZxeovko

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