9911796707
TMI Blog2005 (1) TMI 597X X X X Extracts X X X X X X X X Extracts X X X X ..... see from sale of Agrl. Land was not taxable, as it is not covered under the definition of capital asset in terms of section 2(14) of the Income-tax Act, and in view of circular dated 6-2-1973 without appreciating the facts discussed in detail by the Assessing Officer in assessment order, and without any supporting evidence." 2. Briefly stated the facts are that a search and seizure operation under section 132 was carried out at the residence of the assessee on 18-2-1997 resulting in seizure of the following assets/incriminatory documents as per panchnama dated 18-2-1997 :-- From residence found seized Cash Rs. 2,00,000 nil Jewellery Rs. 4,09,814 nil 3. Source of income of the assessee Shri Mangal Singh is interest income from FDR ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 993 was not applicable in this case. As per distance certificate filed by the assessee on 23-2-1999, Village Sirhaul is at a distance of 3½ km. from Delhi Gurgaon Road and Village Shahpur at distance of 4½ km. from old Delhi Gurgaon Road. This distance has been physically verified and is about 3 km. from old Delhi road and it has been verified that the straight distance of these pieces of land from Municipal Limit of Gurgaon is 5 km. only and these pieces of lands are situated within 8 Km. of Municipal Limits of Gurgaon. The distance certificate filed by the assessee is wrong since straight distance of villages from Municipal Limits is not taken. Hence the Assessing Officer has held that the above pieces of land fall within 8 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1961. The assessee has further submitted that since the transaction of transfer was completed on 5-2-1993 when the notification of 1973 was still applicable, the Assessing Officer was wrong in not recognizing the provisions of notification of 1973, whereas the Assessing Officer took the shelter of notification of 1994 as part of money was received in 1996. He has further submitted that the action of the Assessing Officer was wrong in applying 1994 notification on the facts of the case as it is not the registration which is important in the case of transfer of property but as per section 2(47) a part performance of the contract is considered as transfer. In this connection, he has pointed out that the Assessing Officer itself has admitted th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tal assets under section 2(14) of the Income-tax Act, 1961. As I have already held that the said land is not covered by the definition of capital asset under section 2(14) of the Income-tax Act, 1961 I am not dealing with the other grounds of appeal urged by the assessee." 6. We have heard the parties and have perused the records of the case. The issue involved is whether the agricultural land in question which has been sold/transferred by the assessee, to the DLF Universal Limited are covered under the definition of "Capital Assets" as provided under section 2(14) of the Income-tax Act, 1961. According to the assessee the said lands do not fall within the definition of capital assets as the lands in question are situated beyond the munici ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uly licensed from M/s. Bhagirthi Investments Pvt. Ltd. @ 1600 sq. yard/acre by way of exchange of land of Village Balula from the 2nd party and the second party will be bound to allot plotted area to the first party at the above ratio in the land situated at Shahpur. Since the dispute arose between the parties, the assessee went to the civil court by filing a suit for permanent injunctions against the DLF Universal Pvt. Ltd. However, the parties arrived at a compromise under which original terms of deal were modified and the assessee has been given residential plot @ 1850 sq. yard/acre instead of 1600 sq. yard per acre and have been paid an additional amount of Rs. 1 crore 75 lakhs in addition to the previous amount already paid to the asse ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
