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2013 (8) TMI 188 - AT - Income TaxAddition u/s 68 - Portfolio Investment in Shares - CIT(A) deleted the addition - Held that:- The impugned investments are not related to the previous year to the assessment year under consideration. When the fact being so the provisions of Section 68 is not applicable to the said investments for the year under consideration as the provision is applicable only when the sum is found credited in the books of the assessee in the previous year relevant to the assessment year. Also find merit in the contention of the assessee that the assessee has not been required to maintain any books of account in the earlier years as the only source of income is out of her salary. It is also found that the past investments made by her are duly incorporated during the F.Y. 31/3/2007 - the impugned addition u/s 68 is not sustainable in law and in facts. In favour of assessee. Disallowance of sale of agricultural land as 'short term Capital Gain' - Held that:- It is not disputed by the Revenue at any stage of the assessment proceedings that the subject matter of transfer is agricultural land and also the sale deed clearly indicates that the sale pertains to agricultural land. In view of that matter, no infirmity in the order of the CIT(A) in holding the immovable property as agricultural land. Thus no merit on in the contention of the Revenue that the assessee has not discharged her onus of proving the subject matter of sale as agricultural land. Agricultural land sold by the assessee is not a 'capital asset' since it is in rural area within the meaning of section 2(14)(iii), the impugned receipt cannot be brought to tax as capital gain by invoking section 54B. As the provisions of section 54B are not applicable to the facts of the case, the issue of holding period of the land for less than 2 years does not arise at all in the instant case - no reason to sustain the addition made by the AO. In favour of assessee.
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