In compulsory acquisition exemption can be claimed ?

Tax planning 331 views 2 replies
User Avatar

CA Practice
29 Points Joined September 2012

In compulsory acquisition of a agricultural land exemption can be claimed under sec 54 .

Which exemption will be availabe under this case...

  Land                                                        :         Agicultural (as per records)

  Acquisition                                               :         Compulsory   Acquisition

  Payment                                                  :          Deemed commercial some part and rest agricultural

  TDS                                                         :          10%

  Amount of compensation                            :          1,30,00,000

Now can assesse buy a Agricultural land or he has to purchase/build a residential house for claiming exemption under sec 54....?

0 Reply Share Follow
On 21 February 2015 at 13:06 Report
Replies (2)
User Avatar

Chartered Accountant
1693 Points Joined April 2014
Hello,
Under Section 10(37) of the Income Tax Act, Capital Gains on compensation received on compulsory acquisition of urban agricultural land is exempt from tax.

 
1 Reply
On 23 February 2015 at 15:23
User Avatar

CA Practice
29 Points Joined September 2012

Thanks 

But payment is made on the basis of " Deemed Commercial Property" in this case also.?

Reply
On 23 February 2015 at 17:58


CCI Pro

Leave a Reply

Post Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Recent Threads

More recent discussions | Post

Related Threads
Loading