https://www.taxtmi.com/caselaws?id=358589 Compensation received for relinquishing a right to sue and surrendering development-related rights was treated as a capital receipt, not taxable as business income or capital gains. The Tribunal relied on the absence of any development activity, the fact that no consideration had been paid by the assessee, and that the assessee held only a limited licence-type right to enter the land. It held that the statutory bar on transfer of agricultural land, coupled with the lack of any enforceable transferable interest or actionable claim, meant no capital gains charge could arise. It also found that the arrangement did not amount to part performance requiring compulsory registration. en-us Wed, 04 Apr 2018 00:00:00 +0530 Fri, 13 Apr 2018 10:07:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=358589 Compensation received for relinquishing a right to sue and surrendering development-related rights was treated as a capital receipt, not taxable as business income or capital gains. The Tribunal relied on the absence of any development activity, the fact that no consideration had been paid by the assessee, and that the assessee held only a limited licence-type right to enter the land. It held that the statutory bar on transfer of agricultural land, coupled with the lack of any enforceable transferable interest or actionable claim, meant no capital gains charge could arise. It also found that the arrangement did not amount to part performance requiring compulsory registration. Case-Laws Income Tax Wed, 04 Apr 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=358589