https://www.taxtmi.com/caselaws?id=11899 The High Court of Gujarat held that Circular No. 88, dated August 1, 1969, issued by the Central Board of Direct Taxes was applicable for determining the cost of acquisition of agricultural land converted into non-agricultural land. The court emphasized that the circular was binding on subordinate authorities and applicable to the assessment year in question. It was clarified that agricultural land becomes a capital asset only upon conversion, with the cost of acquisition based on the market price at the time of conversion. The court upheld the Tribunal's decision, ruling in favor of the assessee and disposing of the reference with no costs. en-us Thu, 16 Jan 2003 00:00:00 +0530 Thu, 11 Feb 2010 16:06:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=11899 The High Court of Gujarat held that Circular No. 88, dated August 1, 1969, issued by the Central Board of Direct Taxes was applicable for determining the cost of acquisition of agricultural land converted into non-agricultural land. The court emphasized that the circular was binding on subordinate authorities and applicable to the assessment year in question. It was clarified that agricultural land becomes a capital asset only upon conversion, with the cost of acquisition based on the market price at the time of conversion. The court upheld the Tribunal's decision, ruling in favor of the assessee and disposing of the reference with no costs. Case-Laws Income Tax Thu, 16 Jan 2003 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=11899