https://www.taxtmi.com/caselaws?id=8973 Profit from selling shade trees is treated as capital gains where the trees are property distinct from agricultural land and therefore fall within the definition of capital assets. The principle that whatever is attached to land belongs to the land does not apply to classify trees as agricultural land. Such transfer receipts are capital receipts and do not constitute agricultural income, because the statutory definition of agricultural income does not include profits arising from transfer of agricultural capital assets. Accordingly, profits from the sale of shade trees are assessable under section 45 of the Income Tax Act, 1961. en-us Fri, 02 Feb 1973 00:00:00 +0530 Tue, 20 Jan 2026 18:21:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=8973 Profit from selling shade trees is treated as capital gains where the trees are property distinct from agricultural land and therefore fall within the definition of capital assets. The principle that whatever is attached to land belongs to the land does not apply to classify trees as agricultural land. Such transfer receipts are capital receipts and do not constitute agricultural income, because the statutory definition of agricultural income does not include profits arising from transfer of agricultural capital assets. Accordingly, profits from the sale of shade trees are assessable under section 45 of the Income Tax Act, 1961. Case-Laws Income Tax Fri, 02 Feb 1973 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=8973