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2014 (6) TMI 774 - AT - Income TaxComputation of profit u/s 115JB - Minimum alternate tax (MAT) - Inclusion of profit on sale of agricultural land – Held that:- The land is not a “Capital Asset” in terms of sec. 2(14)(iii) of the Act – as decided in assessee’s own case for the earlier assessment year, Singhai Rakesh Kumar v. Union of India [2000 (11) TMI 2 - SUPREME Court] was followed - the income arising on the transfer of agricultural land is not exigible to capital gains tax, being in the nature of agricultural income - there is complete parity of facts, so that there was no reason to take a different view of the matter - The provisions of Chapter XII-B of the Act do not operate to extend the scope of `total income’ per section 5 on which the charge to tax u/s 4 is attracted, but is only toward providing an alternative basis for computing the same – the inclusion of profit on account of sale of agricultural land is not a capital asset u/s 2(14), in the computation of book profit u/s 115JB of the Act -the profit from sale of agricultural land, which is not a “Capital Asset”, cannot be included for the purpose of computing book profit u/s 115JB of the Act – thus, the decision of the CIT(A) is upheld – Decided against Revenue.
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