Agricultural land capital gains exemption allows reinvestment relief, with deposit scheme rules and taxable treatment of unutilised amounts. Capital gains exemption is available on transfer of agricultural land where an individual or HUF reinvests in another agricultural land within two years, subject to the lower of the capital gain or the cost of the new asset or deposit amount. Unutilised deposit in the Capital Gains Account Scheme becomes taxable on expiry of the two-year period, while special rules apply if the new land is sold within three years. A circular states that unutilised deposit of a deceased individual is not taxable in the hands of the deceased or the legal heirs.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Agricultural land capital gains exemption allows reinvestment relief, with deposit scheme rules and taxable treatment of unutilised amounts.
Capital gains exemption is available on transfer of agricultural land where an individual or HUF reinvests in another agricultural land within two years, subject to the lower of the capital gain or the cost of the new asset or deposit amount. Unutilised deposit in the Capital Gains Account Scheme becomes taxable on expiry of the two-year period, while special rules apply if the new land is sold within three years. A circular states that unutilised deposit of a deceased individual is not taxable in the hands of the deceased or the legal heirs.
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