capital gain

[Asked by Guest]

namaskar,

an agrivultural land is sold by dividing it into three parts and as a result three registered deeds were made..is this liable to capital gain.?

AI Summary

Agricultural land classification may exclude sale from capital gains when land retains agricultural status after subdivision.
If the land qualifies as agricultural land under the statutory definition and continues to be agricultural after subdivision into three registered parts, it is not a capital asset and transfer of such land will not attract capital gains tax; by contrast, rural agricultural land is generally excluded while urban agricultural land may be liable to capital gains.