https://www.taxtmi.com/caselaws?id=799767 Compensation for compulsory acquisition of rural agricultural land for a national highway is exempt from income tax where the land lies outside specified urban limits. Such land is not a capital asset under the Income-tax Act, and compensation covered by an award or agreement exempt under the land-acquisition law is not taxable. Consequently, treating the receipt as short-term capital gains is impermissible, and the corresponding addition is to be deleted. en-us Wed, 16 Sep 2026 00:00:00 +0530 Sat, 26 Sep 2026 08:31:05 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=799767 Compensation for compulsory acquisition of rural agricultural land for a national highway is exempt from income tax where the land lies outside specified urban limits. Such land is not a capital asset under the Income-tax Act, and compensation covered by an award or agreement exempt under the land-acquisition law is not taxable. Consequently, treating the receipt as short-term capital gains is impermissible, and the corresponding addition is to be deleted. Case-Laws Income Tax Wed, 16 Sep 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=799767