https://www.taxtmi.com/caselaws?id=220322 Land situated in an industrial zone was treated as non-agricultural where there was no established agricultural user or real connection with agricultural purposes, even though revenue records still described it as agricultural and formal non-agricultural conversion occurred later. The conversion of the land into stock-in-trade was supported by a board resolution and disclosure in the accounts and return, so it was valid and the asset remained a capital asset on the date of conversion. On that basis, section 45(2) applied to the gains. Section 50C could not be applied to the year of conversion because it was operative only from a later assessment year. en-us Fri, 14 Dec 2012 00:00:00 +0530 Sun, 20 Jan 2013 19:12:58 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=220322 Land situated in an industrial zone was treated as non-agricultural where there was no established agricultural user or real connection with agricultural purposes, even though revenue records still described it as agricultural and formal non-agricultural conversion occurred later. The conversion of the land into stock-in-trade was supported by a board resolution and disclosure in the accounts and return, so it was valid and the asset remained a capital asset on the date of conversion. On that basis, section 45(2) applied to the gains. Section 50C could not be applied to the year of conversion because it was operative only from a later assessment year. Case-Laws Income Tax Fri, 14 Dec 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=220322