Deduction u/s 54B disallowed as land not used for agriculture in preceding 2 years.

The Income Tax Appellate Tribunal (ITAT) dismissed the taxpayer's appeal, upholding the Principal Commissioner of Income Tax's (PCIT) revisional order under Section 263, which set aside the original assessment allowing a deduction under Section 54B. The ITAT found that the Assessing Officer (AO) failed to verify if the land was used for agricultural purposes for the required two years before the transfer, a condition for the deduction. A report confirmed no agricultural activities occurred on the properties involved. Citing precedent, the ITAT ruled the deduction inapplicable as the land did not meet the agricultural use requirement. .....

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