Sale of agricultural land

Sale of Agricultural Land situated in rural area is exempt from Capital Gain tax.

According to Section 2(14),a capital assets property of any kind held by an assessee ,whether or not connected with his business or profession ,but doesn't include -

1)Any stock in trade

2)Personal effects (movable property )held by the assessee or any member of his family dependent on him ,but excludes-

jewellery,archaeological collections,drawings,paintings,sculptures,any work of art.

3)Rural Agricultural land in india 

4)6.5% GoldBonds ,1977 or 7% Gold bonds ,1980, or National Defence Gold Bonds,1980 ,Issued by Central Government.

5)Special Bearer Bonds,1991,issued by Central Govt.

6)Gold depoist bonds issued under Gold Depoist scheme ,1999 notified by Central Govt.