whether sale of agricultural land will come with in the ambit of capital gains tax . will any one clarify on this point more
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Yes,I believe this is true. Land should be outside Municipal Limits as mentioned by messers.Dutt & Jain more
Jul 09
if agriculture land out of municipal corporation limit then no capital gain will payable. more
Jul 09
The Agricultural land should be situated 3 K.Ms away from small Municipalities or 3-8 K.M.s away from radius of Other Municipalities for treating the Agricultural land as a Rural Agri. land is not a Capital Asset. One has to refer to the I.T. Departments' notification on the distance from each major Municipality from time to time before availing this exemption. more
Jul 09
I agree with Subhash & Ashish, further there are some clarifications. Sold agriculture Land should be inherited and compulsory acquisition than capital gain will be exempted. In case of purchased agriculture land, there is some locked in period (2/3 years) to be abided by, otherwise, if there is any capital gain, tax will be applicable. more
Jul 09
