https://www.taxtmi.com/caselaws?id=756471 The ITAT Visakhapatnam held that gains from sale of divided agricultural land plots should be treated as capital gains rather than business income. Despite the assessee dividing land into plots for sale, the tribunal found no evidence of intent to engage in trading activity or real estate business. The land was located within municipal limits, making it subject to capital gains tax. Following the precedent in CIT vs. Kasturi Estates, the tribunal directed the AO to treat the entire sale consideration as capital gains, allowing the assessee's appeal. en-us Wed, 31 Jul 2024 00:00:00 +0530 Fri, 02 Aug 2024 12:29:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=756471 The ITAT Visakhapatnam held that gains from sale of divided agricultural land plots should be treated as capital gains rather than business income. Despite the assessee dividing land into plots for sale, the tribunal found no evidence of intent to engage in trading activity or real estate business. The land was located within municipal limits, making it subject to capital gains tax. Following the precedent in CIT vs. Kasturi Estates, the tribunal directed the AO to treat the entire sale consideration as capital gains, allowing the assessee's appeal. Case-Laws Income Tax Wed, 31 Jul 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=756471