Urban land acquired by midc in 2010-11 section 148 notice



Compulsory Acquisition of Urban Agricultural Land by MIDC,

Compensation Awarded in Dec 2011,

Dept. has issued notice under section 148,

Section 10(37) for the Consideration and

What will be the tax treatment for Solatium and Interest under Section 23(1A) and Interest under Section 28?

Thank you in advance!!

 
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if your case satisfies all the 4 conditions given below then it's exempt under 10(37)
in the case of an assessee, being an individual or a Hindu undivided family, any income chargeable under the head "Capital gains" arising from the transfer of agricultural land, where—

[i] such land is situate in any area referred to in item [a] or item [b] of sub-clause [iii] of clause [14] of section 2;

[ii] such land, during the period of two years immediately preceding the date of transfer, was being used for agricultural purposes by such Hindu undivided family or individual or a parent of his;

[iii] such transfer is by way of compulsory acquisition under any law, or a transfer the consideration for which is determined or approved by the Central Government or the Reserve Bank of India;

[iv] such income has arisen from the compensation or consideration for such transfer received by such assessee on or after the 1st day of April, 2004.

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do u mean that entire amount including Solatium and interest under the aforementioned 2 sections is exempt
 
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INCOME TAX OFFICER

Interest is taxable
 
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