TaxTMI 
TaxTMI 
2019 (11) TMI 919
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....m other sources. The addition is not called for and hence the same be deleted. * For that the consideration received by the assessee on account of sale of Rural agriculture land be considered as capital receipt and should be untaxed. * Without prejudice to the above, the Income from sale of land be treated as income from Capital gains and the same be computed as per law. * For that the learned CIT (Appeals) erred in confirming the interest ix] s 234 A/B/ C the same was unjustified and hence the same be recalculated as per the applicable law. * The appellant craves leave to produce additional evidences in terms of Rule 29 of the Income Tax (Appellate Tribunal) Rules 1963. * The appellant craves leave to press new, additional grounds of appeal or modify, withdraw any of the above grounds at the time of hearing of the appeal." 3. The main grievance of the assessee is against the action of ld. CIT(A) in upholding the addition of Rs. 26,96,250/-, which according to assessee is the amount of sale consideration he received from sale of his agricultural land, which according to him is exempt from tax. Brief facts as noted by the AO is that he....
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....sset" within sec. 2(14) of the IT Act. The AO did not accept the contention of the appellant and now the appellant has re-iterated its contention that the said land being "agricultural land" cannot be taxed. Having gone through the material and evidence so placed before me, I find that the impugned land has been claimed to be situated outside the Municipality boundary of Dunkuni, West Bengal. The appellant has' claimed it squarely satisfies the requirements of being 2 kilometers away from the Municipality boundary whose population is less than 1 lac. For the same the appellant has given the population census of "Dunkuni Municipality" from the google website search. Having gone through the material so placed by the appellant, I find that the requirement of law if! the matter has not been duly satisfied by the appellant,- The appellant has failed to furnish any evidence such as certificate of "Gram Panchayat" or "Block Development Office" as to the exact location of the impugned land and has merely submitted that the impugned land is 3-5 kilometers away from the municipality boundary of Dunkuni. In absence of any certificate from local Panchayat / Block Development Officer or Mun....
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.... the securities referred to in sub-clause (b)]), consumable stores or raw materials held for the purposes of his business or profession; (ii) personal effects, that is to say, movable property (including wearing apparel and furniture) held for personal use by the assesses or any member of his family dependent on him, but excludes- (a) Jewellery (b) archaeological collections (c) Drawings (d) Paintings (e) Sculptures (f) Any work of art. . (iii) Agricultural land in India, not being land situate- (a) in any area which is comprised within the jurisdiction of a municipality (whether known as a - , municipality, municipal corporation, notified area committee, town area committee, town committee, or by any other name) or a cantonment board and which has a population of not less than ten thousand; or (b) In any area within the distance, measured aerially,- (I) not being more than two kilometres, from the local limits of any municipality or cantonment hoard referred to in item (a) and which has a population of more than ten thousand (but not exceeding one lakh); or If the land in qu....
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....of Act. Moreover, it was submitted and pointed out to us by the ld. AR that before Financial Year 1970-71, Gains from Sale of Agricultural land in Rural area in India was not taxable. Thereafter, amendments were brought in and by virtue of it, if the agricultural land is situated within the jurisdiction of a municipality area/cantonment board was treated as a capital asset and so sale of the land(agriculture) was also made taxable. However if the agricultural land is situated outside the boundaries of any Municipality or Cantonment board, and the distance (aerially) from any Municipality and Cantonment Board as given in chart (supra) satisfies the requirements of population given in the chart (supra) as per the last census, then the sale of agricultural land will attract capital gain. And if the agricultural land does not fall in the ken of the chart supra or any condition i.e if the population requirement is not satisfied though the land falls in distance from the boundaries of Municipality or Cantonment, then the sale consideration cannot attract capital gain. Accordingly the ld. AR submits that no liability to tax will arise in respect of gains derived from transfer of agr....