https://www.taxtmi.com/caselaws?id=26572 Amounts received by a company as compensation and sale proceeds on the acquisition and sale of agricultural land were treated as capital receipts, not capital gains, because agricultural land was excluded from the definition of capital asset. When such receipts are distributed to shareholders, taxability as dividend depends on whether the distribution is out of accumulated profits within the statutory concept. The commentary notes that earlier Supreme Court principles remain applicable despite arguments based on liquidation or later amendments to the dividend definition, and that a distribution traceable to capital receipts of agricultural land is not taxable as dividend unless it falls within accumulated profits. en-us Thu, 26 Sep 1985 00:00:00 +0530 Sat, 06 Feb 2010 11:08:56 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=26572 Amounts received by a company as compensation and sale proceeds on the acquisition and sale of agricultural land were treated as capital receipts, not capital gains, because agricultural land was excluded from the definition of capital asset. When such receipts are distributed to shareholders, taxability as dividend depends on whether the distribution is out of accumulated profits within the statutory concept. The commentary notes that earlier Supreme Court principles remain applicable despite arguments based on liquidation or later amendments to the dividend definition, and that a distribution traceable to capital receipts of agricultural land is not taxable as dividend unless it falls within accumulated profits. Case-Laws Income Tax Thu, 26 Sep 1985 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=26572