There is an agriculture land which is outside the purview of one Municipality when it is purchased (i.e outside 8 k.m) when land was purchased... later new municipality has been notified in that area ... so now exempted agriculture land became taxable agriculture land (i.e within 8 k.m from municipality board)... now the land owner sold said agriculture land... what are the tax implications??? is it capital gain or not??? Refer me some case laws if u can...
02 December 2013
if its capital asset and there is transfer of such assets then capital gain is taxable as at the time of transfer they became capital asset.
CAclubindia
