https://www.taxtmi.com/caselaws?id=17442 Capital gains on compulsory acquisition under the urgency provisions of the Land Acquisition Act, 1894 accrue when the land is actually transferred, not when sections 4 and 6 notifications are issued. Preliminary acquisition notifications do not by themselves divest title; where section 17(1) is invoked, vesting occurs only when possession is taken and the land passes absolutely to the Government free from encumbrances. For section 45 of the Income-tax Act, 1961, the taxable previous year is therefore the year in which possession is taken and transfer is effected. On these facts, the capital gains arose in assessment year 1972-73. en-us Wed, 23 Apr 1997 00:00:00 +0530 Tue, 22 Sep 2009 13:50:08 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=17442 Capital gains on compulsory acquisition under the urgency provisions of the Land Acquisition Act, 1894 accrue when the land is actually transferred, not when sections 4 and 6 notifications are issued. Preliminary acquisition notifications do not by themselves divest title; where section 17(1) is invoked, vesting occurs only when possession is taken and the land passes absolutely to the Government free from encumbrances. For section 45 of the Income-tax Act, 1961, the taxable previous year is therefore the year in which possession is taken and transfer is effected. On these facts, the capital gains arose in assessment year 1972-73. Case-Laws Income Tax Wed, 23 Apr 1997 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=17442