Capital Gain on Transfer of Agricultural Land and DRC Certificate

In my view, if the farmer is an Individual/HUF and the agricultural land was used for agricultural purposes for two years preceding acquisition, the amount received on sale of DRC/TDR issued against compulsory acquisition of land for DP Road can be claimed as exempt under section 10(37). The DRC/TDR is only a mode of compensation for compulsory acquisition. However, the claim must be supported by 7/12 extract, crop records, acquisition/DP road documents, DRC allotment letter and sale agreement. If section 10(37) is not accepted, an alternative argument may be examined that TDR/DRC had no ascertainable cost of acquisition, relying on Bombay High Court decision in Sambhaji Nagar Co-op. Hsg. Society, subject to facts.

Thank you Sir for your valuable insights...Capital Gains arise derived from Transferable Development Rights (TDR) or Additional Floor Space Index (FSI) sale in Redevelopment is taxable under the head as Long term capital Gain after 1^st April 2023. As per my view if this amendment is considered to be applicable only to Redevelopment Projects, it will not be applicable to the Lands compulsorily acquired by any Municipal Corporation/ Government. However, if proceeds from Sale of TDR are considered as taxable, can we argue and claim Fair Market Value of Land as on 1.4.2001 as Cost of Acquisition being it ancestral land while computing capital gain? Also whether exemption u/s 54B, 54F and 54EC be claimed against such Capital Gain?