https://www.taxtmi.com/caselaws?id=253665 Agricultural land situated outside the notified municipal limits is excluded from the definition of capital asset, so profit on its sale is not taxable as capital gains; on the facts, the land retained its agricultural character and no conversion for non-agricultural use or trading activity was shown, so it was also not assessable as business income. A development agreement amounts to a deemed transfer under section 2(47)(v) only if it falls within section 53A of the Transfer of Property Act, including the transferee's readiness and willingness to perform. As the developer had not taken effective steps and the arrangement had broken down, no transfer arose under the deeming provision. en-us Wed, 26 Nov 2014 00:00:00 +0530 Mon, 01 Dec 2014 06:33:43 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=253665 Agricultural land situated outside the notified municipal limits is excluded from the definition of capital asset, so profit on its sale is not taxable as capital gains; on the facts, the land retained its agricultural character and no conversion for non-agricultural use or trading activity was shown, so it was also not assessable as business income. A development agreement amounts to a deemed transfer under section 2(47)(v) only if it falls within section 53A of the Transfer of Property Act, including the transferee's readiness and willingness to perform. As the developer had not taken effective steps and the arrangement had broken down, no transfer arose under the deeming provision. Case-Laws Income Tax Wed, 26 Nov 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=253665