9911796707
TMI Blog2017 (11) TMI 1664X X X X Extracts X X X X X X X X Extracts X X X X ..... opulation of more than 10 lakhs. In the present case, admittedly, the land sold by the assessee is situate beyond 8 KMs limit, the land Revenue is collected in the form of Kist in respect of the agricultural land, the land Revenue records shows the land as agricultural land. Thus, all the conditions required for holding the land as agricultural land stands complied. This being so, we are of the view that the land sold by the assessee being an agricultural land and consequently the same cannot be treated as a capital asset, the sale of which gives rise to capital gains. - decided in favour of assessee - ITA No.2510/Mds/2017 - - - Dated:- 22-11-2017 - SHRI GEORGE MATHAN, JUDICIAL MEMBER, AND SHRI A. MOHAN ALANKAMONY, ACCOUNTANT MEMBER ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nding by the Assessing Officer to that regard. 5. The Learned CIT(A) failed to appreciate that the present re-assessment proceedings were finalized vide re-assessment order dated 30.03.2015 without any speaking order to the effect of disposing the objections raised by the Appellant. 6. The Learned CIT(A) erred in holding that the Appellant had not produced any substantial proof of sale of agricultural land in terms of agricultural activities performed on the land thereby denying the Appellant his claim for exemption as under Section 2(14) of the Act. 7. The Learned CIT(A) erred in confirming the Petitioner s agricultural land as to be under the purview of a capital asset without considering the fact that the said land was situated ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 377; 14.90 Cr. to M/s.Shreyas Investments whose main business was construction of buildings. It was a submission that the said land which was sold by the assessee was beyond 8 KMs limit from the nearest Municipality and the Land Revenue and the Land Records showed the said land as agricultural land. The Ld.AR drew our attention to Page No.146 to 151 to show that the taxes in respect of the said land was paid as Kist and the land shown in the Revenue records as agricultural land. It was a submission that the assessee had originally filed its return of income on 31.10.2007 and had claimed the sale proceeds in respect of the said land as agricultural income not liable for capital gains. The return filed by the assessee has been scrutinized and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Inspector s report was an unsigned Report and consequently the same could not be regarded as a valid Inspector s Report. It was a submission that the order of the AO and the Ld.CIT(A) was liable to be sustained. 6. We have considered the rival submissions. The land in question which has been sold admittedly has been shown as agricultural land as per the Chitta Adangal. The distance from the nearest Municipality has also been shown to be beyond 8 KMs. The land Revenue records also clearly shows that the land specified is agricultural land. In fact, there is an Inspector s Report referred to in the Assessment Order dated 29.12.2009 wherein it is mentioned that the Inspector has verified the place and has also contacted with the Village ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... beyond 8 KMs limit, the land Revenue is collected in the form of Kist in respect of the agricultural land, the land Revenue records shows the land as agricultural land. Thus, all the conditions required for holding the land as agricultural land stands complied. This being so, we are of the view that the land sold by the assessee being an agricultural land and consequently the same cannot be treated as a capital asset, the sale of which gives rise to capital gains. 8. In the result, in Ground Nos.6 to 8 of the assessee s appeal stands allowed. Ground No.1 is general in nature. In Ground Nos.2 to 5 Ground No.9 are raised by the assessee against the re-opening of the assessment. As we have already allowed the assessee s appeal on merits, ..... X X X X Extracts X X X X X X X X Extracts X X X X
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