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2015 (10) TMI 2115 - AT - Income TaxTransfer of capital asset - determination of capital gain - whether capital asset transferred by the assesses is not agricultural land but “assignment of right to obtain the conveyance” of the agricultural land - Held that:- We find the Ld.CIT(A) has rightly observed that the assessee in the instant case have transferred their right to obtain the conveyance of immovable property to the purchaser C&M Farming Ltd. Further, para 10 of the agreement between the assessees and C&M Farming Ltd. dated 13-07-2004 also shows that the assessees have undertaken to transfer land to the purchaser or to anyone named by the purchaser. Further, the right of receiving compensation from MHADA in case of acquisition of land has been granted to the purchaser company in accordance with para 11 of the agreement. Para 12 of the agreement says that the sellers have undertaken to transfer the land without any encumbrance. The assessees have also undertaken to comply with all the procedural requirement for getting the land transferred in the name of the purchaser for which he has paid full consideration of ₹ 2.75 crores to the respective parties. Under the aforementioned circumstances, we do not find any infirmity in the order of the CIT(A) holding that the capital asset transferred by the assesses is not agricultural land but “assignment of right to obtain the conveyance” of the agricultural land. The various decisions relied upon by Ld.CIT(A) also supports the case of the Revenue. Under these circumstances, we find no infirmity in the order of the CIT(A). We accordingly uphold the same. - Decided against assessee.
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